The Blues made it two wins from two games, scoring five tries in a 39-17 victory over the Highlanders in Super Rugby Aotearoa in Auckland on Sunday.
The hosts proved unstoppable at Eden Park, practically putting the game beyond reach by half-time with a 17-3 lead, before some late consolation for the Highlanders.
The victory, which backed up the Blues' opening-round 31-16 triumph over the Hurricanes, underlines their genuine contender credentials.
After an early Highlanders penalty, the Blues got the first try in the ninth minute when Otere Black finished off Rieko Ioane's good work.
The Blues got their second try seven minutes later, with numbers on the left side allowing Rieko Ioane to draw the defence and offload for Caleb Clarke to score in the corner.
They were denied a spectacular try by a TMO ruling that Akira Ioane's pass to Rieko Ioane was forward shortly prior to half-time.
Josh Dickson was yellow-carded before the break and Emoni Narawa added a third Blues try shortly after the interval, as they spread right after a rolling maul.
Clarke's good kicking set up another opportunity which was taken by substitute hooker Kurt Eklund from another Blues rolling maul which left the Highlanders helpless.
Ash Dixon pulled a try back for the visitors, before flanker Akira Ioane dived over for the Blues.
Blues scrum-half Sam Nock received a late sin-binning for cynical play before Folau Fakatava got a late consolation try for the Highlanders, squeezing over the line.
Wallabies will get things right before Lions tour, promises Rugby Australia chief
Rugby Australia chief executive Phil Waugh is confident the Wallabies will be ready to compete with the British and Irish Lions next year, despite suffering the heaviest defeat in their Test history last time out.
Australia were crushed 67-27 by Argentina in the Rugby Championship last time out, their third defeat in four games in this year's tournament.
They were also dumped out of last year's Rugby World Cup in the pool stage following losses to Fiji and Wales, and they are down to ninth in the World Rugby Rankings.
The British and Irish Lions will face Australia in three Tests when they tour down under between June and August next year, with many fearing Joe Schmidt's team will be blown away.
Waugh, however, says there is plenty of time for the Wallabies to get things right before then, telling the Sydney Morning Herald: "You can see the progress is there.
"It is not nearly where we need it to be, but if we keep progressing at the speed with which we have moved things in the last six months, then there is plenty of time.
"It is a team that is, and I hate using the word 're-building', but it is a team that is re-setting, and it takes experience in big moments to get better.
"Obviously, the enormity of the scoreline in that second half was disappointing.
"But there is context that is important... we are not the most experienced team in world rugby, and we are building that experience."
Australia conclude their Rugby Championship campaign with two fixtures against New Zealand before the end of September, then face England, Wales, Scotland and Ireland in their Autumn International Tests in November.
Australia 'fell off a cliff' in biggest-ever Test defeat
Australia suffered their biggest-ever Test defeat on Saturday, as Argentina came from behind to win 67-27 in the Rugby Championship.
And Wallabies coach Joe Schmidt said his team simply "fell off a cliff" after taking a 17-point lead.
Having snapped an eight-game winless run in the Rugby Championship with their last-gasp victory over Argentina last week, Australia were looking to keep the momentum going.
And they looked well set to do just that as tries from Carlo Tizzano and Andrew Kellaway propelled them into a 20-3 lead.
But Mateo Carreras and Julian Montoya, who was playing for Argentina for the 100th time, dragged Argentina back into it and paved the way for Australia's capitulation after the break.
Juan Martin Gonzalez, Joaquin Oviedo, Juan Cruz Mallia and Lucio Cinti all crossed for the Pumas in the second half, with Santiago Carreras' conversion condemning Australia to their record defeat.
"To lead a Test match 20-3 and get run down in the manner which we did is really disappointing," said Schmidt.
"We cannot let a game get away from us like it did and fall off a cliff.
"We lost connection in our defensive line. We were forever chasing them.
"We didn't put enough pressure on at the breakdown, so they were operating off a lightning-quick ball, and it's just too difficult to keep chasing a team on a hot day when they’ve got the ball and going forward."
Australia's previous record Test defeat had come against South Africa in 1997.
Matters do not get any easier for the Wallabies, who now face two matches against Schmidt's native New Zealand as they aim to avoid finishing bottom of the pile.
Second-place Argentina, meanwhile, will tussle it out with Rugby Championship leaders South Africa.
Kolisi 'had to prove himself' in landmark South Africa triumph
South Africa captain Siya Kolisi said he had to prove himself after being given the chance to lead the Springboks out in their Rugby Championship win over New Zealand.
Kolisi's early try after the break sparked the hosts' revival after they went in at half-time 9-3 down before roaring to an 18-12 victory in Cape Town.
It was the fourth successive win by the Springboks over the All Blacks, as they maintained their perfect record in this year's Rugby Championship.
Kolisi described the encounter as South Africa's most important game since they won the World Cup final against the same opponents in Paris last year.
"The coach gave me the chance when I said I was okay so I couldn’t go half-hearted. Nobody is going to celebrate you if you don’t go flat out," said Kolisi.
"We didn’t start the way we wanted to and the coach was quite honest with us [at half-time]. At the start of the second half we did what we wanted.
"This game was really big for us."
The triumph marked the first time since 1949 that South Africa have won four straight Tests against New Zealand.
However, head coach Rassie Erasmus was muted despite achieving the most successful streak against South Africa's arch-rivals in the professional era.
"It was nice, but they have had big scores against us and six times in a row they have beaten us," he said.
"It's nothing to brag about because they have done worse to us. But it was special."
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