As asked above, I can't answer why the effect isn't working for you without examples of what you have tried.
However, while looking for something else today, I did find this font that looks just like the effect you are trying to replicate. If you register with Creative Market, it is one of the free items for this week.
the blurry effect on the edge however is from the rasterizing of the text. You might be able to accomplish that with a feathering effect.