Kind reminder:
This post is not intended as financial advice.
Please make sure to do your own research.
The Contrarian Mindset
Following up on my post Dreaming about being a LANDLORD in PRAETORIA, I’ve been keeping an eye on Lands’ prices fluctuations over the past few days. This week saw some Lands’ owners losing patience over the development of this aspect of the game. In fact, if they bought those assets on launch day at $20 a piece, they’ve already 10x to 15x their initial investment. So, taking some profit to reallocate the funds somewhere else seems to make sense regarding the Roadmap that has been unveiled during the last Town Hall.
Always wearing my investor’s hat first, I would love to purchase a license and run a node, rather than buying a plot of land. With the Gala nodes as a blueprint, this feels like a real opportunity to generate some passive income. The first issue is that I am not sure, I’ll be able to afford one. Reading between the lines, I suspect those licenses to be in the thousands. Aggroed, the bullish founder of the two, didn’t seem to believe in a flash sell of those new assets.
Then, when looking at what Splinterlands has done recently with the Waka Spiritblade’s Promotion, one single card can already easily reach the $1000+ mark. Plus, with fewer licenses than plots available for purchase, the team has an antecedent to refer to, the sky-high prices of Lands since their launch. So, even though they had in mind a number in the hundreds, it feels like there is no way they won’t ten x that amount, even though profits won’t be for the company itself.
I am currently not willing to put thousands more in this ecosystem where I feel I am already fairly committed. I started the game with two other relatives, and today, I am the only one left. I still do strongly believe in the game, but my wife, rightfully so, keeps warning me about the risks of such investments. As long as I follow my own rules, I should be fine; my rule being sticking to the allocated budget and not exceeding it. Buying a license just won’t fit in that budget.
My alternative option to take advantage of the coming DeFi element of the game is therefore owning a part of Praetoria. This is a huge gamble as we don’t know much about the ROI of such a speculative asset. However, as I mentioned in my previous post on the subject, I am willing to spend around $133.33 on a plot of land, a number I ended up with when looking at the SPS Airdrop points given by each plot. The prices of plots fell down to $250 this week and if it keeps falling, my low-ball bid will be there to grab one up.
Recently, there were multiple low-bids on Vouchers that got triggered most probably by someone who made an unfortunate mistake. This reminded me that I had nothing to lose by putting a bid on Tribaldex and then simply, "wait and see". My bid is at 166.1 HIVE because I’ve noticed quite a huge gap between 251 and 166 HIVE at the time I’ve placed my bid. Again, I might never get a plot of land, but while others are losing patience, I try to keep calm and double down on the project.
How about you?
What are your next moves in the Splinterlands’ ecosystem?
I wish you all a great day!
Thomas
For new players interested in joining this amazing game, you can support me by using the following referral link (at no extra cost to you!):
https://splinterlands.com?ref=tt88
Thank you.