Splinterlands What is More Important DEC or SPS?

With land came with the increase use of DEC. That in turn has players burning SPS. Now I was pondering at the value proposition we have regarding players burning SPS for DEC. Obviously we know SPS supply is forever fixed, but how much of it being burned will be dependent on the players themselves. Meanwhile collecting DEC can happen multiple ways and in reality supposedly could have an infinite supply.

Not half of all ever SPS to be distributed is out in supply. Yet here we are having around 3% of the forever fixed supply being burned, gone forever. This token SPS is being underestimated in value even though currently there still is very little use for it.

The reality it seems is that SPS is not being valued for the long term at current standing. Players are forging ahead requiring the likes of DEC and burning cards and SPS for them to obtain grain and or time crystals. To build and earn daily rewards.

Play Long Term?

For me I have just started producing with the plots. The SPS, grain and whatever rewards that comes with it is alluring indeed. Yet the whole land production seems to not show clearly that SPS although is rewarded will still be limited to the overall supply. Meanwhile items like grain and others appears to have the potential of unlimited supply in the long run.

We can see the demand for DEC soaring with just the supply side.

Yet price remain close to peg but remains elusive from staying at peg. I saw it hit peg about a day ago only to fall back down immediately afterwards. Its still positive price point for DEC with the supply rising but prices remain elevated.

My Plans Ahead

With evidence DEC demand rising I believe I will play the game a bit more conservative on the side of earning more DEC. What I mean by this is continue earning DEC the way I have always been while avoiding to burn SPS for DEC nor try to accelerate the land production in order to earn more rewards.

The rental market appears to be thawing from the low DEC prices as more cards are being locked up there is increase to rental prices.

Renting out staked SPS is another form of yielding more DEC although the prices have fallen in recent days. Still at the very least this means I get to keep all the SPS I have.

One other way of yielding DEC that I have will plan to steadily perform is the selling of cards and assets. I sold off my Chaos boosters for more Hive and in turn exchange that for DEC. The fact that I want to keep a ton of DEC stake allows me to still have liquidity and for good use now with land. Meanwhile if I had just held my Chaos packs all I would have gain potentially in asset price appreciation, but if and when that comes is a big unknown.

Conclusions

You can get a better picture of my post emphasizing how I am valuing SPS more than DEC. The FOMO into land is blinding some of us from the reality that maybe keeping more of the SPS we earn is better. I do understand the sooner a player produces rewards with their lands the more SPS they will earn. Yet what about the SPS they had to burn in order to achieve their goals?

This whole thought process won't be the same for all players. That is where game theory comes into play. Some will want to burn assets as it will gain them more in the long run. Yet we do not know what the future holds if we keep the assets on hand. To me with SPS prices on the rise in recent days it is clear that I should be holding more of it. Buy low and sell high is what I am hoping to do. See in the long run will this work...

Until next time thanks for reading!!!

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