Is it worth burning SPS now?

Burning SPS is a mechanism that would enhance the value of the token itself. This worked, for example, during the Arcane Conclave Presale, when DEC reached the peg and it was very convenient to burn SPS to obtain the stablecoin. It seems like a long time ago, but in reality, less than a year has passed, and we've seen millions of SPS tokens burned for a few weeks. If that mechanism had been maintained today, we would have hundreds of millions of tokens eliminated from the market, obviously benefiting the value of the governance token itself.

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Flywheel is the term used to describe the moment when burning SPS is advisable because it yields the greatest profit. This occurs when the price of 1,000 DEC equals $1, the ideal time to burn the governance token. Imagine if SPS were worth $0.10, we could burn millions of SPS and raise enough funds to buy packs or cards, invest in LAND, and much more. The price of SPS is now far too low, even if DEC were to reach the peg.


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ITA

Il burning di SPS è un meccanismo che avvalorerebbe il token stesso, che ha funzionato ad esempio durante il Presale del set Conclave Arcana, quando DEC ha raggiunto il peg ed era molto conveniente bruciare SPS per ottenere la stablecoin. Sembra passato tanto tempo da allora, ma effettivamente non è trascorso neanche un anno e abbiamo visto per qualche settimana bruciare milioni di SPS. Se ad oggi si fosse mantenuto quel meccanismo, avremmo centinaia di milioni di token eliminati dal mercato, a vantaggio ovviamente del valore stesso del governance token.

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Flywheel è chiamato quel momento in cui il burning di SPS è consigliabile perché si ottiene il massimo profitto. Questo avviene quando il prezzo di 1000 DEC = 1 dollaro, il momento opportuno per bruciare il token governance. Immagina se SPS avesse un valore di 0,10$, potremmo bruciare milioni di SPS ed ottenere fondi sufficienti per acquistare pacchi o carte, investire in LAND e tanto altro. Il prezzo di SPS ora è davvero troppo basso, anche se DEC dovesse raggiungere il peg.


Thank you for taking the time to read this post. If you haven't signed up to Splinterlands yet, I invite you to give it a try. You can use my referral link (https://steemmonsters.com?ref=claudio83)



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