Hello, SPIer's and PUNKer's. SPI got lucky when PUNKS were issued and we bagged a few good ones. Infact we got one of the rarest ones in the collection, I'd take a guess and say we hold a top 10 rarity PUNK. I am not aware of official rarity lists so I can't confirm that, I just guess it's the dog's balls as I have only seen 2 other cards listed for sale with a higher rarity.
Our top 3 PUNKS by rarity are 5164, 1531 and 600. The 5164 rarity PUNK is currently up for sale at 12,000 HIVE. If it sells, we'll take the $20k and we are happy with that, I dont think it will but has to be listed to have a chance, right?
Getting a super rare PUNK is always great but with most things that are rare, the market of buyers is smaller. There are lots of users willing to pay 20-50 HIVE to get a PUNK they like and not so many are willing to pay 10,000 HIVE. SPI is a fund token and we make investments to make profits, we got lucky on this and our 1500 HIVE investment into PUNKSonhive looks to have paid off on paper but im all about that HIVE that can be converted to $'s. I have been able to sell off a few PUNKS already, all PUNKS under 90 and only a handful more to test selling but getting back out some HIVE from these more rare PUNKS is something I have been thinking about. I dont wanna sell them off super cheap, like 2000-3000 HIVE just to get a quick sale but I dont want to still holding these in 5 years with no access to liquidity. Can we sell some and hold some?
I would like for us to have our cake and eat it too
PUNKS onhive is a new venture from themarkrymark, they launched and sold out a few weeks ago in under a day. There were 10,000 PUNKS minted and sold at 20 HIVE each making Marky a shit ton of HIVE (fair play) and producing himself a nice income from secondary market sales since. Look how happy he is below.
All that HIVE Marky got is already earned for building and selling his product but i'd take a guess and say some will be used toward developing a use case for PUNKS. From his POV, he has raised over $300k,(maybe $160-200k at the time) easily from minting PUNKS, why not throw $10-30k into developing a game are some sort of use case that could produce a nice income based on inserted fees. If it fails, whatever, he loses a few thousand and can say he tired. If whatever he comes up with works, he'll make more money and build a stronger ecosystem.
I personally think a use case will come to PUNKS but that's based on hope more than evidence. It's not often a project can raise 200k HIVE in around 1 day so the demand is there, people have put their money in, it would be crazy to not try to build on that and just leave them as they are.
So what can we do?
We can split our rarest PUNKS into factional owned PUNKS. We could take our 5164 rarity PUNK, create a new token to represent fractional ownership, mint 10,000 tokens and split the PUNK into 10,000 pieces. Each 10,000th of the PUNK would be represented by 1 token of fractional ownership. If we value the PUNK at 10,000 HIVE, each ownership token would be issued at 1 HIVE each. These are all just ballpark to explain the idea.
Why?
Using the example above, SPI could create 10,000 fractional ownership tokens for its 5164 rarity PUNK with the plan to hold 5000 tokens and issue 5000 to release equity. SPI can lock in profits early while retaining some ownership of the PUNK. If a use case is introduced, the PUNKs value could increase and could offer a potential active/passive income.
If a private holder has a high-value PUNK and wants a way to release profits, SPI could tokenize and sell that as well for a fee of whatever, 10% I guess. Doing it for others is an idea, probably not worth doing but im thinking out loud here.
For SPI, it would be a way to get some HIVE back if it had to boil down to 1 thing.
For investors?
Well, they say, getting in early is the best time and also the riskiest time. This is what the offer is here. Im not gonna sugarcoat it and say PUNKs will only increase in value but... I would assume if any use case were introduced, the higher the rarity of a PUNK, the higher it will be able to potentially earn, assuming rewards are paid in some form of internet money. Any rewards earned from a PUNK would be split between fractional token holders equally based on how many tokens they hold.
Another possible exit, plan B, could be putting a time lock of 2-5 years and agreeing that when this time finishes, SPI will auction off the PUNK and split the HIVE from the sale between fractional token holders. Token holders return or burn there fractional tokens to receive HIVE. Any unclaimed after something like 12-24 months could be claimed to SPI (why not?), we dont wanna be keep track of this stuff years after we've finished with it.
That's my thought
Anyways, that's what I have been thinking over. No plans to make it a thing, if a use case is introduced, the chances of this happening would increase to around 90% because we would potentially have an income that we could use to market it and sell the fractional tokens. If a use case never comes, im not sure how many users on active on HIVE but I dont think it would be 10,000 so these are far from rare with the use case of a profile picture. Adding a use case that requires 4-5 PUNKS like the way Slpinterlands takes 5 cards to play would add a layer of greater rarity to PUNKS. Your thinking at 10k PUNKs using 5 PUNKS to play, we could only have 2000 players maximum. True that, but then you add BETA PUNKs with a mintage of 100k-1000k. BOOM!!, now our "APLHA" punks are worth a fortune. MORE FREE internet money!!, nom, nom, nom, we'll eat it all up.
There you have it, my rough thoughts on what we should do with our PUNKS, how to cash some HIVE out while still holding some skin in the game.