The Current SPS Landscape
It’s no secret that there is an oversupply of SPS in the market. The daily rewards from various sources continue to flood the ecosystem, leaving more supply than demand can currently absorb. Even as someone who has accumulated a substantial amount of SPS, I no longer actively strive to gain more—it just accumulates passively. This excess has diluted its value, making it less appealing to stake or delegate.
Why Stop Delegating?
Delegating SPS on the market has provided a steady flow of DEC rewards every couple of days. This has been one of the more enjoyable aspects of staking and delegating SPS. However, with the current low prices, the effort doesn’t feel worthwhile. By pausing my delegations, I’m essentially signaling my belief that holding and staking SPS will be more rewarding in the long term.
The saddest part of this decision is losing access to that regular DEC income. DEC, while also devalued, has been a critical component of my strategy for land and other assets within the ecosystem. But I’m confident that things will balance out as the community adjusts and demand rises again.
The Flywheel and Future Outlook
One of the reasons I’m optimistic about SPS’s future is the potential for the DEC flywheel to restart. If DEC’s peg can be reestablished and demand for it rises, the utility of SPS will naturally follow. A robust DEC economy could reignite interest in staking SPS for governance and other benefits, creating a more balanced supply-demand dynamic.
I’m also certain that I’m not the only long-term SPS holder considering these moves. As more people make similar decisions, the oversupply of SPS on the market could ease, creating conditions for a healthier price point. It’s the classic economic cycle: supply and demand finding their equilibrium.
For now, I’ll watch and wait. The Splinterlands ecosystem has seen its fair share of ups and downs, and I’m confident this is just another phase in its evolution. By halting my delegations, I’m positioning myself for what I believe will be a stronger, more valuable SPS in the future. It’s a tough call, but sometimes stepping back is the best way to move forward.
Discord: @newageinv
Chat with me on Telegram: @NewAgeInv
Follow me on Twitter: @NAICrypto
The following are Affiliate or Referral links to communities and services that I am a part of and use often. Signing up through them would reward me for my effort in attracting users to them:
Start your collection of Splinterlands today at my referral link
Expand your blogging and engagement and earn in more cryptocurrencies with Publish0x! Sign up here!
My go to exchange is Coinbase; get bonuses for signing up!
The future of the internet is here with Unstoppable Domains! Sign up for your own crypto domain and see mine in construction at newageinv.crypto!
Always open to donations!
ETH: newageinv.eth
BTC/LTC/MATIC: newageinv.crypto
Disclosure: Please note that for the creation of these blog posts, I have utilized the assistance of ChatGPT, an AI language model developed by OpenAI. While I provide the initial idea and concept, the draft generated by ChatGPT serves as a foundation that I then refine to match my writing style and ensure that the content reflects my own opinions and perspectives. The use of ChatGPT has been instrumental in streamlining the content creation process, while maintaining the authenticity and originality of my voice.
DISCLAIMER: The information discussed here is intended to enable the community to know my opinions and discuss them. It is not intended as and does not constitute investment advice or legal or tax advice or an offer to sell any asset to any person or a solicitation of any person of any offer to purchase any asset. The information here should not be construed as any endorsement, recommendation or sponsorship of any company or asset by me. There are inherent risks in relying on, using or retrieving any information found here, and I urge you to make sure you understand these risks before relying on, using or retrieving any information here. You should evaluate the information made available here, and you should seek the advice of professionals, as appropriate, to evaluate any opinion, advice, product, service or other information; I do not guarantee the suitability or potential value of any particular investment or information source. I may invest or otherwise hold an interest in these assets that may be discussed here.
Delegate Tokens and HP to Fallen Angels to earn weekly rewards!
Delegate | Join to the guild
Never understood how the team allowed to delegate sps to start with. As always when you undermine the ownership's value people prefers to stick with delegations or rentals and that leads to a devaluation of the tokens the assets etc...
Haven't ever delegated SPS for this very reason and seems that time is giving me some confirmation that I was right.