Can I use a sdcard for holding led color values to get around SRAM limitations?

I'm making a mock tetris game, so I can see your second point doing well

Well in that case the first point should be even better, just code a Tetris game.

This would be quite a bit of work manually inputting it though if I'm imagining on how to implement it correctly.

Yes but the point is that you don't input it manually, you get the computer to do the work. I have written something in the Processing language that will do most of the work for you.