What is Hive Auctions?
Hive Auctions is a new game on Hive based on the concept of popular Penny Auctions. A large prize is put on auction for $0.01. Each bid raises the prize $0.01 but costs ~$0.30-0.50. The auction is extended a short period of time when a new bid comes in. The last person to bid when the timer runs out, can purchase the prize for the final bid amount, typically 10-20x less than the value.
@hiveauctions will put up an auction for a prize worth at least 100 Hive. Users will submit bids to win the auction with the final bidder winning the prize when the auction time runs out.
Every time a bid is received, the final price of the auction goes up a fixed amount, typically only 0.01 Hive. The cost to submit a bid is fixed and is much higher, typically 1 Hive.
When a bid is received, the final auction time is extended if there is less than 1 hour left on the auction. The amount the auction is extended depends on how many bids there are for the auction.
The last bidder to have a successful bid when the auction closes will be able purchase the prize for the amount of the final bid.
Example auction
- 100 Hive is put up for auction.
- New post introduces this auction on the @hiveauctions account.
- The bid cost is set to 1 Hive.
- Users submit bids by sending 1 Hive with the correct game ID (1 in this case) in the memo
- The auction expires, and the post is updated stating the auction has ended.
- 150 bids were received making the final price 150 x 0.01 or 1.5 Hive.
- Winning bidder sends 1.5 Hive to @hiveauctions with the memo winner 1.
- 100 Hive prize is transfered to the winning bidder.
The idea behind the game is many people will submit bids and spend a small amount of Hive to participate. The final bidder will potentially win big. The participant bids are used to fund the prize pool.
Follow this account be know when there is an active game. The first auction will start soon. Make sure you refresh the auction posts to be sure you are looking at the latest state of the auction.
FAQ
What if multiple bids are sent at the same time?
The order operations are processed in the block will determine the last bidder for the block.
How long are the auctions?
Most auctions will start at 12 hours, and can be extended for an unknown amount of time depending on how many bids arrive.
Why does it cost 1 Hive to submit a 0.01 Hive bid?
The final cost to win the auction is designed to be really low making being the last bid a very valuable experience.
How often will the auctions be?
This is to be determined, this is an experiment and one will be launched shortly. The idea was to launch at least one auction a day, but right now the first auction is a litmus test for participation.
Will the auctions always be for 100 Hive?
No, the idea is anything can be auctioned off, even NFTs. This proof of concept is for 100 Hive, I'd like to have prizes for larger amounts like 1,000 Hive, gold foil Splinterlands cards, NFTs, and Hive Engine tokens. Each auction will be for at least 100 Hive worth of value.
Can you run an auction with my token?
Yes. If you want to sponsor a prize pool with your token, reach out on Discord. There is no charge for this, but you will need to supply at least 100 Hive worth of your token for a future auction. The entire donation will be used in the auction.
Who is behind this project?
@blockheadgames - Aka @themarkymark
