This article contains my strategy and analysis for DeFi Kingdoms $Crystal airdrop on Avalanche Blockchain. A video version is available on YouTube:
Disclaimer: The content of this post is intended as an example strategy and meant as entertainment not investment advice.
What are the DeFi Kingdoms?
DeFi Kingdoms is the most popular game and deX (decentralized exchange) on Harmony Protocol.
Each Kingdom lives on its own blockchain and will have its own token. For example. $jewel is to DeFi Kingdoms: Serendale (the Harmony One kingdom) as $crystal will be to DeFi Kingdoms: CrystalVale (the Avax kingdom).
You can learn a lot more about DeFi Kingdoms in my last video or by reading the article version of the post.
Getting ahead of the $crystal Airdrop
An initial distribution of Crystal is going to take place via an airdrop.
It’s based on (average wallet holding jan. 3 – 24)/network total * allocation
Here are the allocations:
- $xjewel holders – 600k $Crystal
- $jewel holders on Avalanche – 100k $Crystal
- Hero Holders (see screenshot)
- Jewel LP Holders – 300k $Crystal
Keep your Jewel and Crystal safe by using a hardware wallet. Compare the best options Ledger vs Trezor
Other ways to earn on DeFi Kingdoms
Despite the high APYs for LPs on Defi Kingdoms, I don’t LP because impermanent loss is annoying to monitor.
I also don’t play the NFT quests, because I just don’t really feel like it TBH.
These strategies are viable, but I’m going to focus on comparing staking $jewel for XJewel on Harmony with holding $jewel on Avalanche.
Related Articles: Dogechain & The Rise of Meme Chains
How I’m staking $jewel for rewards
Staking jewel for xjewel on Harmony allows you to earn APY on your Jewel.
Also, if you stake 100 xJewel you’re eligible for a gen 0 hero raffle. 25 gen 0 NFTs will be given away to xJewel holders
(Current gen 0 floor price on Harmony = ~$45,000)
xJewel strategy = some APY and the chance to win an expensive NFT BUT… (for now) Crystal airdrop ROI is a lot lower going the xJewel route.
Assume you stake 100 xJewel.
That’s roughly a $3000 investment to give you 100 of the 11,000,000 xJewel in circulation
Spread that allocation around according to the 600,000 Crystal for xJewel hodlers:
And you get ~ 5.45 Crystal
(these numbers will change by the minute)
Buying/bridging Jewel to Avalanche, you get no APY or no chance at a Gen 0 NFT raffle, BUT that $3000 investment gets you roughly 168 Jewel.
And as of now there are only ~900,000 Jewel on AVAX.
Spread out the smaller Crystal Allocation on AVAX and you get:
168/900,000*100,000 = 18.67 Crystal.
Got all that? Quick recap
The options I’ve weighed here are:
xJewel = guaranteed APY + chance at HUGE win
Jewel (AVAX) = More crystal for your initial investment.
Which one is right?
None of this is financial advice. Just fun to think about and obviously highly risky to execute.
The correct strategy relies heavily on the price of Crystal once it launches on AVAX.
Don’t lose your entire kingdom, Keep your crypto safe with a ledger hardware wallet and DYOR research.