I've lost count of how many times I've covered the main Splinterlands token, SPS, in my Hive posts. Every time there is a positive market sentiment or a newly implemented in-game utility, I make sure to feature it in writing. I've also mentioned countless of times how SPS is such an undervalued asset and that it will see the most price appreciation once the bull run do happen.
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SPS is currently having a good chart movement in the past few days. It is sitting at around $11 million market cap, which is still very undervalued considering what the project has currently achieved in terms of development. But this marketcap is just a mere representation of the potential value of the asset if all circulating tokens are sold at current prices.
And it just dawned on me a few days ago of what SPS truly is worth aside from its in-game utilities. This is something that very few people talk about.
SPS is Backed by the DAO Fund
Well, technically, it is, in a way. The DAO fund is handed to the SPS holders and every transaction that it makes needs to be voted upon by all SPS holders. So technically, each SPS that you own is a partial claim to the DAO fund assets. Should the game or the company fail, the SPS holders could agree to liquidate all DAO funds and distribute them proportionally to everyone. And of course this is just a hypothetical scenario and the major SPS holders still have the final say on this matter.
So how big is the DAO fund? Clayboyn has done a consistently great job of keeping track of everything involving DAO. The recent treasury report can be viewed here. The main DAO funds include:
This is around 4.6 million dollars in assets outside of Hive. That is already significant value considering that Splinterlands is still a relatively unknown project. Now let's take a look at the DAO assets in Hive.
Between staked Hive and HBD, the estimated value held is 356 thousand dollars. And that doesn't include the in-game assets.
There are 1.5 billion DEC and 106 thousand SPS tokens in-game and almost a million Rebellion and Riftwatcher packs in the SPS.DAO Splinterlands account. That would equate to a few million more in asset value.
Conclusion
If there is one thing that I can be proud of the Splinterlands founders, Matt and Aggroed, it is that they do not let greed cloud their vision for the project. The creation of the SPS DAO fund and the transfer of millions of dollars into the hands of the players is a remarkable gesture that I don't think I myself would do if I were in their shoes. The existence of the DAO fund alone is probably the best reason for me to hold on and believe in Splinterlands.
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Thank you for reading and see you in the battlefield!
