In terms of development? Sure. It's definitely considered a 'dead' game and people who say otherwise are most definitely in denial, or following the 'no' bandwagon. Blockland left it's golden ages back in, like, 2008-2013. The population in the game daily is atrocious and barely reaches into the thousands, which means servers almost never fill unless it's something that everybody is already accustomed too, making new gamemodes difficult to maintain or create. New players will never stay on Blockland, as perfectly demonstrated by sales and Steam reviews, because there is a ghost town of a bunch of empty servers, as well as the top servers being lackluster, offensive, or just plain boring. A major lack of diversity. Roleplays, and jail escapes across the board. Don't get me started on City RPGs, and how fancy they may be equipped, trying to make a serious game with that sort of freedom is asking for failure, especially given the actions that the general Blocklander takes in such a game. All you're doing is making DM more restricted.
Yeah, it's dead, Jim. It's on its death bed.