What is an Auction?
Last updated
Last updated
An auction is a sale in which buyers compete for an NFT asset by placing bids. The auction begins at the Starting Price, and everyone has a specified amount of time to put bids. Your NFT will be purchased by the highest/last bidder within that time period.
Buyers: Place Bids. When the auction ends, the NFT item will be sold to the highest/last bidder.
Sellers: Choose a Starting Price and time period the auction will take place.
When choosing an NFT item on Soya, a buyer can adjust the search to see only auction-style listings.
Each bid must be at least 5% higher than the one before it. Once a bid is surpassed by a new bid, it becomes outbid.
Except for the initial bid, which has no prior bidder, a set amount (currently 5%) of each bid is distributed to its prior bidder. The bidder will get the remaining 95% of the bid, plus 5% of the new bid, instantly.
Too complex? Here's an example:
Johnny bid $10 for an NFT and then got outbid by $11.
If Johnny is the first bidder, he receives 10 + 11 × 5% back once outbid.
If he is not, he receives 10 × 95% + 11 × 5% back once outbid.
Auction is only cancellable as long as it has no bids. Bids however, are not cancellable.
At the end of an auction with valid bids, either the seller or the bidder must click the Collect button to complete the transfer of NFT and payment to each other.
5% of the last/highest bid will be taxed as a market fee.
Once the time period set buy the seller runs up, the auction ends.
The NFT item than can be collected by the the last/highest bidder. In the case there is no last bidder, the NFT item can be collected by the owner.
Note: When the end time is in less than 10 minutes and a new bid is placed, the auction time period will be extended by 10 minutes.
To learn how to list your NFTs in an auction, please proceed to our in-depth guide :
To learn how to place a bid in an auction, please proceed to our in-depth guide :
