Does the open edx project have blog system functionality,

Does the open edx project have blog system functionality, and if so, how do I set it up to enable it

Not natively, no, it does not.

Depending on what you want to do, there are other options, however. You can technically use the Wiki feature, or discussion posts to fulfill the same sort of role if the intention is for learners to post their own blog entries within a course. You could also do something like integrating a dropinblog or embedding a Tumblr blog if you just wanted to present blog posts to people on your site.

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Over at the European Schoolnet Academy we followed EdX’s suit and we went with installing WordPress on a sub-domain.