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I've built Velocity O/C rears for several bikes, including my own, and have NOT had that problem. They're great rims that build into a long lasting wheel. Obviously, 500 miles is not a normal lifespan.
I've split plenty of rims before and it's ALWAYS due to mileage and wear, which I pretty much anticipated.
Over tension would not have cause the problem; the rim would sooner crack at the nipple due to localized stress. I know; I've over tensioned wheels to the point where I've cracked rims. There's no way a tire blowout could have damaged a rim like that.
It's likely there was an out of spec production run of that extrusion material.
Send an e-mail to Velocity and see if they reply. Send them photos, too.
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