What Happens After The SPS Distribution Is Finished?

Many people have asked about what will happen after the initial SPS distribution phase has completed. In this video, I try to answer that question as best as I can.

The truth is - nobody knows.

This is primarily because we - the SPS stakeholders - are in control of the DAO's destiny and will decide how additional SPS gets allocated. Here are a couple of key points to keep in mind:

  • Most reward pools will finish sometime between early 2027 - early 2028. Remember that certain reward pools didn't start distributing until a full year after SPS went live.

  • The DAO itself was allocated 400M SPS from the initial white paper so there is plenty of SPS in the DAO for us to get started with. The Validator and Riftwatcher sale added a bit more.

  • Certain reward pools like the LPs are not fully allocated and if anything have reduced their rewards which only increases the DAO's holdings.

Overall, the DAO should have a decent amount of SPS once the distribution phase is over - but that doesn't mean it will be enough. I believe we should be finding ways for the DAO to continue earning SPS whether through mini-set pack sales like Riftwatchers or using HBD rewards to buy SPS off the market consistently.

The goal though is to have SPS rise to a certain level so we can reduce the amount of SPS being given out without significantly impacting it's USD value. If done effectively with the activation of the flywheel, the transition could be seamless in an ideal world.


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6 comments
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Hopefully SPS goes up in 2025, if it doesn't in upcoming bull market we will be in serious trouble...

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Overall, if the value of SPS goes up, it'll be easier to reduce how much is given out, especially in places like ranked battles.

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