IBO auctions can have either Non-fungible tokens or Fungible tokens as the underlying asset.
The goal is to bid the highest unique offer at the time the auction ends in order to win the underlying asset.
- 1.Input a 'Bid Offer' for each bid
- The Offer bid can be any value between 00.01 - 99.99
- 2.Pay the 'Bid Fee' to play
- To execute each bid, the user pays a fix bid fee (i.e 0.001wETH)
- 3.Get your Bids rank and status
- If your bid is unique you will get a rank telling you how many other unique bids are above you and below you.
- If your bid is identical to another players bid - you will get a burnt status eliminating that bid from play.
- 4.Sounds easy? We forgot to mention you can't see what other players are bidding. 😲 However, you can see their relative rank on the Dynamic Ranking Table.
- 5.The Dynamic Ranking Table will tell you how far you are from the winning Rank. You can use it to guestimate bids on the board as you fight for the winning rank #1.
- 6.Bids beneath your rank won’t affect you, but bids above yours will demote your bid rank, and identical bids will burn your bid position!
- 7.Demotion Example: You bid 99.00 and win Rank #1. Yay for you - but wait! If another competitor bids 99.01, now you’re demoted to rank #2 and lose your winning spot. Time to bid again!
- 8.Burn example: You bid 99.99 and win Rank #1. Seems like the highest possible bid, right? Yup, but not if it gets burned! Which happens when another competitor bids the same number. In this case, slot 99.99 would get burned, removing it as a viable position. Then 99.98 would become the next highest available bid (until it gets burned!)
Aaaand, with that, you’re a certified BIDSHOP Auction pro! Go place your first bid, fight for a Winning Rank, and defend it until the auction times out. Cash and NFT prizes abound!
The game theory is to hold the high prize ranks while defending your position by burning other players bids before the auction ends.