Couldn't find any info on this on a search or review of the FAQ threads, so apologies if this is a dupe.

For my curiosity, is there a way to hide even the blank avatar/thumbnail with the text 'Blacklisted', such that a user is unaware the post even exists at all? There's no principled reason for me asking, rather, I just suck at not looking at things on my blacklist, because morbid curiosity and impending regrets >_>

Not through e6 settings, no.
However, if you're using a service such as adblock, you can choose to block the "blacklisted" icon. This keeps the "↓24 ♥39 C35 Q" text that appears below, but seems to make it impossible to actually view the blacklisted image. You could probably do some further editing to actually remove the votes, favorites, comments and such.

I had no idea adblock could do that. Thanks!

Actually e6extend had a function for this. Blackhole blacklisted posts.