Dutch Auction

Create an auction for an NFT collection, price starts high to low

The Dutch Auction – Unlike most auction types, the Dutch Auction relies upon an open descending price bidding system to decide the successful bidder. The Dutch auction is moist often connected to the famous Dutch fresh cut flower auction. It is designed to expedite sales. Product knowledge is important in this type bidding.

In Dutch Auctions, the auctioneer begins with a high price for the sale of the a specific lot size. If the opening bid is not met, lower bids drive the price down. When all bidding ceases, or when the seller’s Reserve Price is not met, the bidding ends unless the auctioneer can award quantities of the lot at certain prices until the seller’s Reserve Price is met. If the fit bidder does not match the price for the entire lot, the auctioneer will reduce the price until the Reserve is reached and the entire lot is sold.

In Dutch Auctions, items within the lot can be allocated based on bid order. The highest bidder earns the right to select first. The remainder of items are chosen by bidders according to the weight of their final bid. Dutch Auctions are popular in certain online bidding and in most perishable product auctions, such as fish and tobacco auctions.