If the meaning of staking SPS is the same as on Hive, then an action would need to occur by the account that is staking the token.
I believe more research is needed to find out exactly how the rewards from Staking SPS will be provided to the SPS holder. If it requires the SPS holder to be a player that has matches and awarded for wins, I would like to know who will be playing the INDEX's Splinterlands account so that the rewards are maximized.
If playing and winning is required to get rewards from staking SPS, then it might be best to distribute so that the INDEX holders can stake and earn the rewards from holding SPS for playing their own Splinterlands account.
I vote option two unless holding and Staking SPS in the INDEX account does not require playing the game otherwise I vote to distribute based on my above comments.
Thanks for the feedback man. Lots of options for sure and we dont wanna rush it. That's why we made sure to put it out there for the holders to discuss. :)