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If you try to go to four colors, you need more different fetchable lands, which means you get fewer fetchlands, so more of your lands only offer access to one or two colors instead of three or four colors, and you cant make the numbers work

Card Text:During this turn, your Pokemon's attacks do 30 more damage to your opponent's Active Pokemon(before applying Weakness and Resistance)

Thus, you get the Fire Energy from Holon Phantoms

The one life loss is negligible, and even beneficial in some decks like Vilis, Broker of Blood