The conclusion of Blur’s second season of trading mining has sent shockwaves through the NFT and cryptocurrency communities. Once again, the spotlight is on high-profile figures like Yellow Stage (Huang Li-cheng), whose public frustration has amplified discussions around fairness, incentive design, and long-term sustainability in decentralized platforms. As the dust settles, it's crucial to examine not only what happened during Season 2 but also the broader implications for market dynamics, user trust, and future developments in Web3 ecosystems.
This article dives deep into the end of Blur’s Season 2 trading mining program, unpacks Yellow Stage’s backlash, analyzes key performance metrics, and explores what lies ahead for Blur and its users in Season 3 — all while addressing core concerns that resonate across the crypto space.
The End of Blur’s Season 2 Trading Mining Program
Blur’s Season 2 trading mining campaign officially concluded, marking a pivotal moment in the platform’s evolution. Designed to incentivize NFT trading activity through token rewards, the program attracted over 260,000 unique users and generated an impressive $6.1 billion in trading volume, according to platform data. These numbers solidify Blur’s position as a dominant player in the NFT marketplace landscape, claiming an estimated 65% market share during the season.
The mechanics were straightforward: users earned BLUR tokens by performing eligible actions such as listing, bidding on, or lending NFTs. This reward structure successfully drove engagement and liquidity — but at a cost. As the final reward distribution became transparent, dissatisfaction began to surface among major participants.
👉 Discover how top traders are adapting to new reward models in today’s evolving NFT markets.
Yellow Stage’s Public Outrage Sparks Debate
One of the most visible reactions came from Yellow Stage (Huang Li-cheng), a well-known entrepreneur, early crypto adopter, and influential figure in Asian blockchain circles. He took to social media to express his anger toward Blur and its founder, Pacman, criticizing the reward allocation model as fundamentally unfair.
Reports suggest that Yellow Stage invested heavily — allegedly spending around $14 million** on NFTs across various collections in an effort to maximize his yield from the mining program. However, when the final rewards were calculated, he reportedly received only about **$2 million worth of BLUR tokens, leading to significant financial disappointment.
His criticism centers on the perception that the reward algorithm disproportionately favored high-frequency traders and bots over genuine collectors and long-term investors. This imbalance, he argues, undermines the spirit of decentralization and community building that Web3 platforms claim to champion.
“I spent millions trying to support the ecosystem, only to be rewarded like a minor player. This isn’t fair — it feels like the system was rigged against real users.”
While no formal accusations of misconduct have been proven, Yellow Stage’s outcry has ignited wider debate about transparency, equitable distribution, and whether current incentive models truly serve their intended purpose.
Impact and Challenges Facing NFT Marketplaces
The aftermath of Season 2 reveals several critical challenges facing not just Blur, but the entire NFT infrastructure:
1. Reward Fatigue and Diminishing Returns
As more users chase diminishing token rewards, the economic sustainability of "mining" models comes into question. When short-term gains outweigh long-term value creation, platforms risk attracting speculators rather than builders.
2. Centralization Risks via Bot Dominance
Automated trading bots accounted for a large portion of activity during Season 2. While they boosted volume metrics, they may have diluted rewards for organic users — raising concerns about centralization and manipulation.
3. User Trust and Platform Accountability
With influential voices like Yellow Stage voicing discontent, trust in Blur’s governance and transparency is being tested. Clear communication and fair mechanisms will be essential to retain user confidence.
4. Market Competition with OpenSea
Despite Blur’s dominance in trading volume during the season, OpenSea still maintains a larger overall user base. Retaining users post-mining requires more than just incentives — it demands superior UX, tools, and community engagement.
What’s Next? Blur Season 3 on Blast L2
Blur is already moving forward with Season 3, shifting its foundation to Blast, a Layer-2 scaling solution co-developed by Paradigm and Standard Crypto. This strategic pivot aims to enhance speed, reduce gas costs, and improve capital efficiency for participants.
Key changes in Season 3 include:
Dual Reward Streams: Rewards will be split equally between:
- NFT Traders (for actions like bidding, listing, and borrowing)
- BLUR Token Holders (passive staking-style rewards based on holdings)
This marks a shift toward recognizing both active participation and long-term commitment to the ecosystem.
Additionally, building on Blast introduces native yield-bearing capabilities for deposited ETH — meaning users can earn yield even while their funds are used for trading or collateral.
👉 Learn how next-gen Layer-2 solutions are reshaping NFT trading strategies.
Frequently Asked Questions (FAQ)
Q: Why did Yellow Stage get so upset about Blur’s Season 2 rewards?
A: He reportedly invested $14 million in NFTs to maximize rewards but received only ~$2 million in BLUR tokens. He believes the reward algorithm favored bots and high-frequency traders over genuine collectors.
Q: How much trading volume did Blur generate in Season 2?
A: Blur recorded $6.1 billion in trading volume during Season 2, with over 260,000 unique participants.
Q: Did Blur outperform OpenSea in user numbers?
A: No. While Blur captured 65% of NFT trading volume during the season, OpenSea still has a larger total user base.
Q: What is changing in Blur Season 3?
A: Season 3 runs on Blast L2 and splits rewards evenly between NFT traders and BLUR token holders — promoting both activity and long-term holding.
Q: What are the core keywords related to this topic?
A: Key SEO terms include Blur trading mining, BLUR token rewards, NFT marketplace competition, Blast L2 integration, crypto incentive models, Yellow Stage crypto, NFT trading volume, and decentralized exchange fairness.
Q: Are trading mining programs sustainable long-term?
A: Their sustainability depends on balancing user incentives with real utility. Over-reliance on token emissions can lead to inflation and user churn once rewards dry up.
Final Thoughts: Rethinking Incentives in Web3
The end of Blur’s Season 2 is more than just a milestone — it’s a wake-up call for the broader Web3 industry. Incentive design is not just about driving short-term metrics; it's about shaping behavior, fostering fairness, and building trust.
As platforms evolve from growth-at-all-costs models to sustainable ecosystems, they must prioritize transparency, equity, and long-term value creation. The backlash from figures like Yellow Stage serves as a reminder that even successful campaigns can alienate core supporters if perceived as unjust.
Looking ahead, Blur’s move to Blast L2 and its new dual-reward model could set a precedent for how future protocols balance speculation with sustainability. Whether this shift will win back disillusioned users — or attract a new wave of builders — remains to be seen.
👉 See how leading traders are navigating the next phase of NFT innovation with smarter strategies.
As the NFT space matures, one thing is clear: success won’t come from volume alone, but from creating ecosystems where everyone — from casual collectors to major investors — feels fairly treated and genuinely valued.