📄️ Auction Contract
The Auction Contract is an important component of the Repl protocol as it auctions unlocked FIL into pFIL, burns a corresponding amount of pFIL as the unlocked FIL, and distributes the remaining to pFIL holders. As mentioned in previous sections, when locked FIL are released from Miner Actors, the Repl protocol will put these FIL up for auction in the open market, through a Reverse Dutch Auction.
📄️ Reverse Dutch Auction Mechanism
A Reverse Dutch Auction refers to an auction where the FIL/pFIL's bid level increases gradually with time. When the bid level is desirable for bidders (to perform arbitrage), bidders can make a partial or full bid for the auctioned FIL in exchange for their pFIL holdings.
📄️ Starting an Auction
Unlocked funds are transferred from Miner actors to the Repl protocol whenever funds are withdrawn. Withdrawing of funds refers to the withdrawal of funds from the Miner Actor to the Repl protocol. Funds withdrawn from each Miner Actor will be put up for auction in their individual auctions.
📄️ Participating in an Auction
Navigate to the ongoing auctions by visiting the Auction Withdrawal page.