> For the complete documentation index, see [llms.txt](https://docs.trava.finance/nfts/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.trava.finance/nfts/trava-nft-auction.md).
# Trava NFT Auction
## **Rules**
1. **Auction is ONLY cancellable when it has NO BIDS.** After the first bid comes in, neither you nor we can cancel it, as rules are written in the smart contract.
2. When the bidding countdown is less than **5 minutes left**, every new bid will extend the countdown **by 5 minutes**;
3. Each bid price will be increased by **at least 5%** of the previous one. Once the countdown ends, the auction item will be obtained by the last/highest bidder;
4. The most important rule: **2.5%** of the price increase for each bid is distributed to the previous bidder, and the remaining **97.5%** would be the income of the auction publisher if it’s the last bid or returned to the bidder when it’s outbid.
With the rules, each bidder would either take the 5% share of the next bid or obtain the auction Knight with the price he/she offered. And the first bidder will additionally be free from distributing his/her own 5% to other people.
*Note: The percentage that the later bidder pays for the earlier bidder is the same as the percentage that the sellers need to pay for the platform. So, 2.5% is also the amount auction publishers pay to the marketplace, which means that after receiving 97.5% of the final bidding price as income, sellers need to pay 2.5% of the income to the NFT marketplace.*
*Therefore, the final payment rate that the sellers receive is 95.06% of the final bid. This fee is utilized for marketing, operating, and functioning.*
| | | | |
| ------------------------------------------------ | -------------------------------------------------------------------------------------------------------------------------------- | --------------------------------------------------------------------------------------------------------------------------------- | -------------------------------- |
| **Seller (Auction Publishers)** | **First Bidders** | **Other Bidders** | **Last Bidder** |
| **Receive:** \~95.06% of the final bidding price | Receive:
- 100% of his/her bidding capital
- 2,5% of the later bidding price
| Receive:
- 2.5% of the later bidding price
- 97.5% of his/her bidding capital
| **Pay:** the final bidding price |
*For example,*
* First, Alice offered a 1000 TRAVA bid in a new auction.
* Secondly, Billy offered 1100 TRAVA
⇒ Alice would receive her own 1000 TRAVA and 2.5% of 1100 TRAVA, which would be 1027.5 TRAVA in total, and the extra 27.5 TRAVA is totally free money.
* Finally, Michael offered 1200 TRAVA.
⇒ Then, Billy would get 97.5% of his 1100 TRAVA and 2.5% of 1200 TRAVA, that is 1102.5 TRAVA, still getting 30 TRAVA for free.
⇒ The auction publisher will receive \~ 95.06% of the final bidding price (1200 TRAVA). Therefore, the seller will receive \~ 1140.72 TRAVA and pay 29.25 TRAVA to the platform.
## **Steps to start an auction on Trava marketplace**
*Step 1:*
* Go to:
* Choose the Knight you want to sell in your [NFT profile](https://nft-app.trava.finance/profile/me/owned);
*Step 2:* Set a start price and end time
**Note that the time range for an auction is from 1 - 7 days.**
*Step 3:*
* Confirm in your wallet, then the auction will start immediately.
* Once the auction is ended with bids, the seller or winning bidder needs to visit the [Trava Knight auction tab](https://nft-app.trava.finance/marketplace/auction) and click the “**Claim**” button to finish the exchange transaction
