iPhone 16 burns my hand

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It seems unlikely for a burn to be caused by your iPhone without you noticing something wrong at the time. To make blistering an object would need to be held for some time and at least as hot as a coffee mug (you can hold a mug without getting blisters, right?). At that kind of temperature your iPhone would be showing temperature warnings on screen, or it would simply shut down to protect itself. The only likely defect for the phone to cause burns would be a major overload in the battery generating heat (and probably smoke), and you would know there was a problem because the phone would never work again.

Conclusion. It seems unlikely your blister was caused by heat from your iPhone.

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