LoLDEX Auction on 09/04/2019
LoLDEX is launching its LoL token Dutch Auction on Tuesday, 9 April 2019. The rationale behind the move is to secure short-term financing for the Foundation, as well as to generate awareness of the LoLDEX brand — much like product crowdfunding on Kickstarter or Indiegogo.
For those unfamiliar, Investopedia says that “a Dutch Auction is a public offering auction structure in which the price of the offering is set after taking in all bids to determine the highest price at which the total offering can be sold. In this type of auction, investors place a bid for the amount they are willing to buy concerning quantity and price”.
The Dutch Auction will be held through a smart contract and be bids will be done with Ethereum.
LoLDEX Dutch Auction facts:
1)The Dutch Auction will be conducted over a period of 20 days
2)500,000 tokens will be released daily, for these 20 days
3)Bids are made in ETH
4)Ten million LoL tokens will be made available through the Dutch Auction which is 3.33% of all the tokens issued.
5)As a way of example, the Dutch Auction smart contract will award the daily LoL tokens to the top bids.
Assuming there are 3,000,000 LoL tokens bid for during an auction day, only the top 500,000 LoL token bids will be chosen by the smart contract, while the unsuccessful bids for 2,500,000 LoL tokens will be returned to the digital wallets that they came. These unsuccessful bidders can try the next day again.
We will be releasing the Auction Smart Contract for review soon on our Github.
Please join our LoLDEX Telegram group for more updates.
