Token Auction
Auction mechanics
1/3 of the total token supply is sold to bidders in a 3-day public auction. All participants end up buying at the same market-clearing price. The final price is determined based on the total bids for the token across all buyers. There is no raise target or cap on the amount of SOL raised.
A general formula for the market-clearing price and the token allocation for an individual bidder is shown below.
Given:
Sis the total number of tokens auctionedb0,b1, ...,bnis the bid from each buyer 0, buyer 1, etc. up to the nth buyerBis the total bids from all buyersΣ(b0, b1, ..., bn)
The market clearing price is: P*=B/S
While the token allocation for an individual buyer n is: Sn = bn / B × S
Here are some examples with numbers:
| Example 1 | Example 2 | Example 3 | Example 4 | |
|---|---|---|---|---|
Tokens sold (S) | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 |
Total bids (B) | $10,000 | $50,000 | $100,000 | $2,400,000 |
Token list price (P*) | $0.01 | $0.05 | $0.1 | $2.4 |
Your bid (bn) | $100 | $1,200 | $500 | $100,000 |
Your allocation (Sn) | 10,000 | 24,000 | 5,000 | 41,666 |
Auction fees
The protocol charges a 1% fee on the final bid amount, once the auction ends. During the auction, bidders are free to add and remove their bids without paying fees.