Between the pair of them, the powder at the moment is a better pick.
Get confuse, -perception and a hold effect chance on whatever you hit. Downside is that its cone is short, narrow and aside for the confuse, duration short. Its still great and offers a team mini seeds of confusion type power (just not as good of course).
The other? It works its just that you've got no idea how or who its blinded 
Duration on my one very basic test (an arena match) gave around a 7 second unable to target me duration. How it handles in PvE I was never sure when I had it and if nothing else, its a cool way to change your costume 
I would certainly not use this if I've already stuck Caltrops down as that will alert them right away.
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its a cool way to change your costume
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this is the kind of thing i like! 
yes the powder does seem the better choice from what i have read (havent actually seen either in action).
also as an aside im guessing the flash bomb in terms of IO sets allowed will be similar to placate? (ie nothing)
so therefore is there a sniff of a whiff of a chance that blinding powder will allow for confuse sets?
maybe another tick in its respective box....
Yeah I filled mine with a confuse set, more out of 'gotta do it' than 'min/max' something
well thats that settled then
thanks for the informative replies majik
coming up to level 35 on my nin/nin pve stalker.
really enjoying it thus far and looking at my build i have a "spare" power at 35.
wanted to try something either the flash/bomb type thing or of course blinding powder.ive had a scout for information and all i can find is a topic almost a year old on the subject and was wondering if anyone has had any more experiences since? has it changed? am i really consigned to picking hasten and suffering the redraw animation on another toon?
im really interested if the aoe placate is handy i understand it wont be like the power placate but as a solo stalker it sounds tasty.
and then again the confuse aspect of blinding powder seems interesting how does it respond to Lts and the big guys?
thanks for any feedback chaps and chappettes