State of Splinterlands from the Investment Perspective - Social Media Challenge
Splinterlands is a digital trading card game that allows players to buy, sell, and trade cards and assets in a decentralized marketplace. Many players have invested in Splinterlands, and some have wondered whether it's a good investment opportunity.
First, it's important to note that Splinterlands investments should be evaluated in relation to other assets in a portfolio. While GameFi is a promising narrative for the bull market, it may not be a top priority for investors during uncertainty phases. However, once the uptrend is confirmed, buyers may start with 1-2% of their portfolio and eventually increase it up to 10%.
Currently, Splinterlands assets are close to their short term and all-time low levels, and any recovery in the crypto market could start a recovery and eventually a bull market in Splinterlands. Validator Nodes, for example, are currently undervalued at incredibly low levels, with the cheapest nodes at $969 per node on the secondary market. However, the cost of the node in the game is $2,545. If the market starts to recover, it's possible that Validator Nodes could be sold for at least $1,000 as they were during the presale, which would represent a significant return on investment.
Similarly, the Splinterlands Governance Token (SPS) has been consolidating around 2-3 cents for a long time. While below 2 cents is not likely to happen, if such an event were to occur, it may be a good opportunity to invest more into it. Currently, staking SPS provides a 45% APR if we take into account GLX airdrop value, while staking GLX provides a 177% APR.
Other investment vehicles in Splinterlands include vouchers and DEC. DEC should be slowly appreciating and regain it's soft peg as new DEC sinks come online and absorb the over-supply that was created by last crypto bull market. Right now DEC is about 15% under it's soft peg value. Voucher tokens currently have no utility to keep their price up, but their value has faced significant drops and represents an incredible value at this point. Any new utility, perhaps related to the introduction of land, could drive the price multiple times higher.
I have been closely following the market trends and exploring different investment opportunities within the game. One of the major areas that has caught my attention is NFT cards, and more specifically, Chaos legion cards.
Chaos legion cards represent a unique opportunity for investors. The Chaos legion pack sales are expected to come to an end this month, which will likely lead to a slow appreciation in the value of these cards. This is a natural market dynamic - as supply decreases, demand remains constant or increases, and therefore the price of the product goes up.
Moreover, we have already seen Chaos cards hit a bottom earlier this year and begin to gain momentum in terms of their value. This indicates that there is already a growing interest and demand for these cards, which is likely to increase as we move towards the end of the pack sales.
But what makes Chaos legion cards particularly interesting is the fact that they are part of the newest card set in Splinterlands, which means that they will be a part of Modern league even when Dice and Untamed sets are relegated to the more competitive Wild league. This provides an opportunity for investors to get in early and potentially reap the rewards of their investment as the value of these cards increases over time.
Of course, investing in NFT cards requires careful consideration and analysis. It is important to do your own research, understand the market trends, and evaluate the potential risks and rewards of your investment. It is also worth noting that the value of NFT cards can be volatile and subject to market fluctuations, which means that investing in them can be risky.
That being said, if you have a long-term investment strategy and are willing to hold onto your NFT cards for an extended period of time, Chaos legion cards could be a wise investment choice. With the end of the pack sales approaching and growing interest in these cards, there is potential for their value to appreciate significantly in the future.
As with any investment, it is important to approach NFT cards in Splinterlands with caution and a level head. However, for those who are willing to take on the risks and invest wisely, there is a unique opportunity to get in on the ground floor of a promising market and potentially profit from it in the long run.
In summary, Splinterlands investments can be a valid part of a diversified portfolio. Investing in SPS, Validator Nodes, and some vouchers may be a good way to prepare for the upcoming GameFi hype in crypto. However, it's important to remember that this is not investment advice and that investors should always conduct their own research and analysis before investing.
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