What is the actual Market Cap of Splintershards?

vlemon (76)in #splinterlands • 3 years ago

Hello HODLers and Summoners,

Looking at crypto markets, it is sometimes nice and smart to just sit back and do some cold hearted calculations.

So I decided to look at the diluted SPS Marketcap. As I am a summoner and an investor in Splinterlands, I am affraid to discover anything negative :D.

I digged into the SplinterShards (SPS) Whitepaper

New SPS tokens will initially be added to the various reward pools at a rate of 37,500,000 tokens per month and will decrease uniformly across all reward pools at a rate of 1% per month, meaning that after one year the monthly contribution rate to the reward pools will drop to 33,239,400 and after 5 years it will have dropped to 20,518,400 SPS per month. These rewards will end after 65 months and at that point no more SPS tokens will be created.

65 months means that the airdrop will be going on for 5 years and 5 months before it finishes. That's a lot !

If we take an average over the next five year of 1mn $SPS released per day.

We get 1 000 000 * 30 Days * 12 (months) * 5.4 years = 19 400 000 000

Total supply will be c.19.44bn $SPS Tokens???

WRONG, I misunderstood. Bad Lemon, Bad Lemon!

Well, the last sentence is quite confusing and thanks to some Hiveans, I understood that they meant the last airdrop release will be in 65 months but some will stop way before as indicated in the figure below.