The worst way possible to start seedlings is in peat pots or blocks. They tend to wick the moisture away from seedlings. Research shows that seedlings started in peat are only about 80 to 85% as large as ones started in pots. Try it yourself next year, if you don't believe this. Alternate the same plants, half in pots, half in peat, in a checkerboard pattern in the same tray.I would do peat plugs