Bonding Curve

Bonding Curve Prices

Once an initial price is set by the promise maker or briber, subsequent bid prices increase on a bonding curve.

The incremental price increase makes sure the previous bidder always gets their full bidding price back, while earning a profit from the price increase.

Promises

First Bidder

The first bidder snipes the promise and pays the initial price. 90% of the initial price goes to the creator and 10% of the initial price goes to the protocol.

Subsequent Bidder

As soon as there is a subsequent bidder stealing the promise away from the previous bidder, the previous bidder gets their full bidding price back, as well as a profit of 45% of the increase in price.

Creator

Whenever there is a subsequent bidder, the creator earns a profit of 45% of the increase in price.

Bribes

First Briber

The first briber deposits the initial price. If the bribe is eventually accepted, 90% of the initial price will go to the creator and 10% of the initial price will go to the protocol.

Subsequent Briber

As soon as there is a subsequent briber stealing the bribe away from the previous briber by depositing a higher amount, the previous briber will get their full bidding price back, as well as a profit of 45% of the increase in price if the bribe is eventually accepted.

Bribee (Creator)

Whenever there is a subsequent briber, the bribee will earn 45% of the increase in price if the bribee eventually accepts the bribe.

If the bribee rejects the bribe, or if the bribe expires, all bidders will get their original amount back and the bribee will not earn.