In my custom module
> app/code/local/Maddyboy/Instagramapi/data/instagramapi_setup/data-upgrade-0.1.0-0.1.1.php

    <?php
    $content = 'BLOCK CONTENT HERE';
    //if you want one block for each store view, get the store collection
    $stores = Mage::getModel('core/store')->getCollection()->addFieldToFilter('store_id', array('gt'=>0))->getAllIds();
    //if you want one general block for all the store viwes, uncomment the line below
    $stores = array(0);
    foreach ($stores as $store){
        $block = Mage::getModel('cms/block');
        $block->setTitle('Block title here');
        $block->setIdentifier('block_identifier_here');
        $block->setStores(array($store));
        $block->setIsActive(1);
        $block->setContent($content);
        $block->save();
    }


> app/code/local/Maddyboy/Instagramapi/etc/config.xml

    <Maddyboy_Instagramapi>
          <version>0.1.1</version> // changed to 0.1.1
    </Maddyboy_Instagramapi>

> app/design/frontend/base/default/layout/instagramapi.xml

    <?xml version="1.0"?>   
    <layout version="0.1.1"> 


Still, static block is not shown in the admin panel.