Bladed Thesis is the creator of the Way of the Closed Fist. After his death he became a Red Minister with formidable powers. He is available to talk to after the Player has acquired the Zither Case and the Silk Strings in the "Zither of Discord" quest. Bladed Thesis will give the Player a prize if he completes the given quiz correctly. If not then Bladed Thesis will attack the player and ultimately be dispersed by him/her. If you have enough discord you can choose an option to skip the quiz (when he asks what you see out in the distance, you can guess it, it's chaotic and depressing), doing so surprises Thesis and he compliments you on your mastery of the way of the Closed Fist.
You can also choose to disperse Bladed Thesis after disposing of the man seeking the Zither, he will ask why and the Player must answer that you wish to test your strength while Bladed Thesis is at his full strength will impress him and he will state that, while it will not happen, "it would be an honor" to lose to you. However, you gain nothing from it besides experience.