Last-Minute Bidding → News → Incrypthos News

Last-Minute Bidding

Definition ∞ Last-minute bidding involves submitting bids very close to the conclusion of an auction. This tactic is often used to prevent other participants from reacting or to conceal one’s true valuation until the final moments. It can reduce transparency and competitive bidding over time.
Context ∞ In non-fungible token (NFT) auctions or specific block space auctions on blockchains, last-minute bidding can lead to gas wars or suboptimal price discovery. Auction mechanisms are frequently designed with extensions or other features to counter this behavior, aiming to promote fairer and more transparent bidding processes. The design of these systems significantly impacts participant strategy.

A central abstract structure, horizontally oriented, comprises myriad faceted blue crystalline forms, transitioning from dark indigo to vibrant azure. This represents aggregated transaction data within sharding segments, forming an immutable distributed ledger technology core. Four smooth, white opaque spheres, embedded at each end, signify validator nodes or digital asset anchors. Transparent, intersecting rings encapsulate the entire assembly, illustrating interoperability protocols and cryptographic primitives that facilitate secure cross-chain communication and consensus mechanisms within a decentralized network architecture.

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→Game Theory Model

Game-Theoretic Model Quantifies MEV-Boost Auction Inefficiency and Strategic Latency Dominance

A game-theoretic model formalizes MEV-Boost auctions, demonstrating how latency and strategic bidding, not maximal value, drive block selection, quantifying auction inefficiency.