Topic: [Block Games] Bitcoin Wallet Auction + Kickback (Discussion Thread) (Read 2225 times)

Okay, so I unlocked this thread and I'm using the other one to keep track of the results and wallets: https://bitcointalksearch.org/topic/block-games-bitcoin-wallet-auction-kickbacks-balance-1-btc-high-bid-03-91137

The second auction's balance is 1 BTC atm and we are at Block# 187941. The Ending Block is 188000 so only 59 blocks to go.

Edit: Auction finished, no takers. 

Original Auction before modifications:

Thank you, smart1985 

The idea is nice !

Good luck and i hope you earn some donations

Yes, it does appear that way.

I did find a couple early bidding strategies which increases the odds of winning though but I'll keep quiet for obvious reasons.

The early bidding incentive I'm contemplating is a combination of ideas from DGM (https://bitcointalksearch.org/topic/double-geometric-method-hopping-proof-low-variance-reward-system-39497) and Options Valuation Methods. So far I'm thinking along the lines of a percentage of the fees divided by shares, where shares per bid is equal to (Bidding Block - Ending Block) IFF it's the highest bid included in the block AND it is the highest bid so far. At the end of the auction the "kickback" is distributed to the shareholders, so if the bid is placed early enough it would be possible to get more bitcoins returned than was deposited (in theory). Plenty of time to bounce around ideas though, so we'll see how this auction goes as is.

Seems like the last minute is really the only way to go, since any early bids are really meaningless.  It's whoever can snipe the best/most lucky.

Thanks Inaba!

I haven't had any bids yet, except for my own unfortunately. I'm not sure if people don't like it, don't like me, or are waiting for the last minute to place their bid(s).

I want to keep it as simple as possible but on a later aution I might add some incentive for early bids.

Interesting concept...

Okay, I padded the wallet to bring the balance to 10.014 BTC (The 3.00 BTC deposit is mine, so I'm winning! LOL! )

Block #187000 is the ending block, we are at block# 186030.

Well, assuming 144 new blocks per day, the ETA for block # 187000 is ~8.5 days away and block # 190000 is ~30 days away.

In your scenario the same rule would apply, as long as the transaction is included in a block before block# 190001 would be the winner (transactions in block# 190001 and above are excluded).

This auction makes it very risky to snipe because a failed snipe would lose and 100% of the transaction would go to the Donations Wallets.

Try it out, see how it goes.  Do you know the estimated time of arrival for those two blocks?

and what happens in this scenario, someone sends a new-winning bid but posts it during block #190001, technically after the deadline, what do you do?

Thanks!

I have been thinking about changing Block # 187000 to Block# 190000, to allow some time for the wallet to build up some funds but I still like the idea of paying out once per week or so. What do you guys think?

interesting.. watching this one!

I used the http://mycryptcoin.com/?rid=1AaEsKbEQqaaomybYT7P8YUydSsUyovT7k faucet to get it started. I will probably continue to use the faucet to add to the wallet.

[Block Games] Bitcoin Wallet Auction + Kickbacks (Balance= 1 BTC, Highest Bid= 0.30)
Play for Fun & Profits!

BTC Wallet: 1EkXYzFMiHgHDenrjZVcpLYXwiL4aNWye8
Updated: Block 187938
Wallet Balance: 1.00 BTC
Largest bet: 0.30 BTC
Ending Block: 188000
Results Thread: https://bitcointalksearch.org/topic/block-games-bitcoin-wallet-auction-kickbacks-balance-1-btc-high-bid-03-91137

The largest confirmed transaction into the pot from now until we reach the Ending Block# 188000 wins all the Bitcoins deposited into the wallet!
(Minus the Kickback Pot and my fee)

It is that simple, Guys. It is an All-Pay Auction with an early bidder incentive.

Auction Rules

• The Jackpot is 90% of the total amount deposited into the wallet.
• The Kickback Pot is 5% of the total amount deposited into the wallet.
• My take is 5%.
• There is no maximum bet size, so bet as much and as often as you like.
• All payouts will go to the same address the transfer came from approximately 24 hours after Block #188001.
• Any transfers into this wallet after the Ending Block will be considered a donation.
• I will make donations out of my fee.

Kickback Pot Rules
-Each bet has a chance of getting shares.
-Shares per bet is (Bet Block - Ending Block)
-Each share is worth (Kickback Pot)/(Total Shares)

• The following 3 criteria must me met to receive shares of the Kickback pot:
• 1. The bet doesn't win the Auction.
• 2. It was the highest bet included in a block prior to the Ending Block.
• 3. Ensuing block has a higher bet.

Winning and payout Example:
Player A Bets: 10 BTC Included in Block 187100
Player B Bets: 20 BTC Included in Block 187300
Player C Bets: 30 BTC Included in Block 187300
Player D Bets: 40 BTC Included in Block 188000

Total Deposits= 100 BTC
Kickback Pot = 5 BTC
Total Shares = 1600

The Winner would be Person D.
Player D gets 90 BTC
Player A gets 2.8125 BTC (900 shares x 0.003125)
Player C gets 2.1875 BTC (700 shares x 0.003125)
Player B gets 0 BTC (outbid in same block)

Frequently Asked Questions (FAQs)
Q1: What if there are two or more transfers with the highest amount?
A1: Equal split for the winners.

Q2: What happens to my BTC if someone makes a bigger transfer into the wallet?
A2: You lose them but you might have a chance to win kickbacks.

Q3: Why are you complicating the auction with shares?
Q3: As a reward for early bets because the previous auction had no incentive making sniping the optimal strategy. Unfortunately the Ending Block was found in the middle of the night when the potential players where asleep.

Q3: Where is the wallet located?
A3: Cold Storage

Q4: Do I need to post here after I make the transfer?
A4: Posting is not required, the blockchain is proof.

Q5: Is there a minimum bet increment?
A5: No

Q6: You've been registered on this forum since January, how come don't have many posts?
A6: I like to read more than I like to post.

Q7: Who covers the transaction fee of the jackpot?
A7: I will pay the outgoing fees.

Q8: What is the minimum bet size?
A8: 1 Satoshi although you won't win.

Q9: Why did you make small deposits before the auction started?
A9: It's how I start up the pot.

Q10: Can I use a bot?
A10: Yes, use whatever programs or websites you like.

Q11: I have other questions.
A11: You can PM me or post them here.

Previous Auction: https://bitcointalksearch.org/topic/block-games-bitcoin-wallet-auction-kickback-discussion-thread-88961

Comments, questions, and suggestions are welcomed!

Cheers and Good Luck!

EnergyVampire