This code is for the ultimate beginners like me who struggle to blink their LEDs on their ESP8266 devices.
First, as mentioned in the Problem Solving with Python Forum, the ON value for the link is 0 and the OFF value is 1. This is what I wasn't expecting - I was expecting the ON value to be 1.
Given this, when you access the built-in PIN (this is PIN 2 on my device), setting the machine.Pin(2, machine.Pin.OUT) will turn the led to ON.
I am providing the 8-line code that blinks the LED with 0.5 seconds of delay, which I am able to successfully run on my board.