What is it?
An auction provides an excellent opportunity for developers and external projects to leverage all the benefits of the Cellframe ecosystem by deploying their project as a parachain within our network.
Note
A parachain is an application-specific part of the blockchain network, which is placed in the original blockchain network and consequently, gets all its advantages. Parachain is more specific blockchain which usually has definite application.
Cellframe offers a slot in its ecosystem for a period of 3 to 24 months. Slot has a range from 1 to 8, where 1 is 3 moths, and 8 is 24 months. Interested parties participate in an auction to secure this slot for their project.
How it works?
The auction is conducted in several stages.
To participate, you need to lock 1000 CELL tokens in a smart contract, fill out project information, after this a custom transaction will be placed in the blockchain.
Project information:
- Project name
- Number of months to rent a slot
- Project type (Private or Crowdloan)
- Project website
- Project token (optional)
- Number of tokens distributed among voters (optional)
Next, our plugin sees your project, adds it to the blockchain database. The project is also assigned an ID that allows it to participate in the auction. Participation in the auction depends on the project type.
There are two types of projects:
Crowdloan
If this type of project is selected, users have the right to vote for this project by locking LPv2 CELL/ETH, CELL/BSC or CELL tokens in the Ethereum and BSC networks. If the project ultimately wins the slot, users’ funds are locked for the duration of the slot lease. Users also receive a certain amount of project tokens at the distribution stage depending on how many tokens they have locked. These project tokens allow voters to participate in the project’s life.
If the project does not get a slot, all locked funds are simply returned to users.
Private
This type of project implies that only the project owner can vote for it. This means that the project creator does not want to share project management with users and relies only on their own funds.
At the end of the auction, the project that has scored the most points gets the slot.
Duration
At the same time, no one knows when the auction will end. At a certain point, we announce the end of the auction, and then the system retroactively calculates the end time of the auction in a pseudorandom manner. This ensures the fairness of the auction, when no one knows at what moment it is better to vote.
Eventually, we can boil this down to several points:
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The end of the auction is signaled by the expiration of a candle flame, which was intended to ensure that no one could know exactly when the auction would end and make the last bid.
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Anyone can register their project to participate in our Cellslot auction. Required are project name, briefing, website, and 1000 CELL tokens deposit (returns after win or loss in an auction).
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CellSlots have a range between 1 and 8. Each range point equals to 3 month.For example, if Alice bids 100 CELL on range 1-3, it gives 300 scores, Bob bids 200 CELL on range 1-1, and it gives him 200 scores. Joe bids 50 CELL on 1-8 range, and it gives 400 scores, so Joe won.
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A project could be crowdloan or private. In the case of crowdloan, everybody can bid on it, receiving project tokens (usually governance, but that’s up to the project’s owner) for locking their CELL tokens in. If it is a private bid, only the owner can bid.
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To get a slot for two years, the participant must collect at least 250.000 CELL. Minimal is 3 month period (31.250 CELL). All this time, CELL will be locked.