This article is meant to guide you through the process of how to participate in Abachi Auction and acquire tokens at the best price.
Abachi has decided to use the Gnosis platform for its token distribution via the fairest way to auction tokens that we could find. Please read through to understand how this works.
Auction Time: Dec 28, 11am UTC ~ Dec 30, 10pm UTC
Before entering the Auction or even registering for it. You should read the disclaimer and understand ABI, and how its used in the Abachi ecosystem.
Basic Steps:
- Register to complete KYC on Abachi’s website. You can click here to proceed there directly.
- You need to source funds in DAI stablecoin on your Polygon metamask wallet or a wallet that supports wallet connect (e.g. trust wallet). This should be the same address you used in registration.
- On auction day, head to our website https://abachi.io/auction — Click on the enter auction button.
- Once in the auction, click on connect wallet.
- Start bidding.
Easy right? Now lets take a bit of a deeper dive on all the steps above.
Gnosis Auction works in a very open, trustless manner where each Bidder (that’s you) has full visibility on what they are bidding on, what they will get if they win the auction, and the assurity that their funds will be returned to them if they are unable to meet the final price. The Auctioneer (that’s us, Abachi) is removed from the transaction so that it cannot take your money and run off, or influence the auction in any way to make you pay more than what you’re willing to for each token. Gnosis manages the entire auction on their platform and tokens are issued to bidders by a smart contract once the auction time limit is expired.
Register for the sale.
This is quite simple. Go to our website https://abachi.io/auction — once on the website, click on the KYC button and it will walk you through the entire process. Things you will need to complete this:
- A form of ID
- Your polygon address you will use to bid on the auction
- You (you will need to take a selfie).
Follow the wizard and fill out the steps. Once done your application will go into review. Most reviews are automatic, but if one is flagged it will be manually processed in 24 hours.
Through out the sale, you will be allowed to register until the last 5 hours of the sale. However we recommend do it now in case we need to manually approve it.
Get that DAI stable coin
We covered this process in a fair bit of detail here, so most of you who read that should be already up to speed on what needs to be done.
However, there’s an important aspect that everyone should be aware of. Slippage! This is the change in price impact when swapping coins.
There are two major reasons for high slippage:
- Not enough liquidity (not enough supply)
- Your order is too large (stems from above while you may not see slippage for a smaller order, it may affect larger orders).
We recommend you head on over to 1inch. They have a much deeper liquidity pool and slippage should be well under control even if you place a large order there.
There is no issue swapping 1million worth of Matic into DAI or 1m of USDC into DAI etc. 1inch will find and aggregate liquidity and guarantee you the best price.
Using 1inch is exactly like we covered sushiswap.
If you still run into issues, feel free to reach out to mods in our Discord who will help you through whatever issues you are having.
Alright, now that you have enough DAI in your wallet, let’s get to the next bit, the Gnosis Auction!
Gnosis Auction
Once Dec 28 after 11am UTC, head on over to abachi.io/auction which will take you to the Abachi Auction page on Gnosis.
1. You enter the auction here. This may be grayed out until the auction officially opens.
2. There will be a walkthrough video here to show you how this will work.
3. If you prefer text, a link to this article will be here.
- Once you click enter on the Abachi auction page, you will be redirected to the Gnosis platform. It will look somewhat like this:
2. In the top right, click on the Connect Wallet button which will ask you to connect your Metamask to it. If it gives you the alert that you are on the wrong network, please ensure that you select Polygon Mainnet as your network in Metamask.
3. Once that is sorted, you will now see something like the following screen. We’ve put numbers at each key area of the page and have explained them below:
- This area will show the total amount of aABI we have put up to be auctioned. Once the auction is live, it will show 75,000 aABI tokens as illustrated.
- This area will show which token can be used for placing your bid, in our case it will be DAI as shown.
- This will show how much time you have left to place your bid. Once this clock runs out, you will not be able to place your bid.
- This shows the CURRENT value at which the auction will close, if no more bids are received. This value is the same as the white line as shown in the chart below it.
- This is the base price at which aABI has been listed. You cannot place a bid below this price.
- This is where you enter your bid size as mentioned above in the article. This is the quantity of DAI you are willing to spend in totality.
- This is your bid price. Please think hard about this value and enter a number that you think is both a fair value, as well as high enough to ensure that you are on the right side, of the white line in the chart to the right. (don't worry, you can cancel and re-enter bids while the auction is running).
- This is the white line. This is the price where the aABI auction will close if no more bids are placed. This can move either way based on what bids we get by the time the auction closes. Keep in mind, experienced bidders may start bidding big towards the end of the auction to price out others.
- The green line shows the price and size of the bids that have been placed, only the part of the right side of the white line marks the bids that will be successful at the end of the sale.
Alright, now is the time for you to place your bid. You may need to give permission to Gnosis smart contract to interact with your DAI, so it might ask you to Approve this. If you see the Approve button, click on it.
A new Metamask pop-up will appear requesting your permission to spend DAI. Click Approve if everything seems to be in order. Now you can enter the values for your bid.
Please enter the values in Amount and DAI / aABI token fields as per your comfort level, and click that BOB (big orange button). A summary screen will pop up, showing you the DAI you are selling, the minimum amount of aABI you will get, and the max price / aABI you will be charged. If all is in order, click Confirm.
Another Metamask pop-up will come up asking you to confirm the transaction. Click Confirm after viola! You have successfully become a proud bidder in the Abachi Auction.
Now all you have to do is wait for the auction to end, and pray that your bid comes out on the right side of that white line!
Lets get a bit technical — so how does this work?
The auction starts with the Auctioneer (that’s us) setting three parameters:
- the amount of tokens they are putting up for sale (75,000 aABI tokens in our case)
- the minimum price they are willing to sell these for ($20 / aABI in our case)
- the time duration for which the auction will run. (28th December to 30st December in our case)
Once the auction time begins, it is open for people to come in and start placing their bids. The Bidder (that’s you) will submit two parameters:
- Bid price — that’s the maximum price you are willing to pay per aABI.
- Bid size — that’s the total amount of DAI you are willing to spend to get as many aABI as possible.
Once you place your bid, you will be submitting your funds to Gnosis Auction smart contract which will lock them in till the auction is over or you cancel your bids.
Once the auction is complete, the system starts from the highest bid in the auction, and makes its way down to add up all the tokens it can sell for the maximum price. The best price at which all the tokens can be sold, is going to be the final price at which aABI will be issued to all participants.
If the final price of the token is lower than your bid, you will get the maximum amount of tokens you can get within your total budget, sold at that final price (even if you were willing to pay more / token).
However, if the final price comes in HIGHER than your bid, you will not be issued any tokens and 100% of your funds will be returned to your wallet.
That’s right. Everyone whose bid makes it into the count, will get the tokens at the same price irrespective of what price they bid in the auction. If you wish to further understand exactly how the auction decides on the final price, please read this amazing article here, complete with a hypothetical example.
To graphically represent this, here’s a chart that might help you understand:
If your bid price is on the right hand side of the white line in the above chart, you will most likely get some tokens. If your bid is on the left hand side of the chart, you will not get any aABI tokens and your funds will be returned to your wallet.
In case of any troubles, or even more details should you need it, feel free to reach out to our mods in Discord who are always here to help you out.
- Residents of Afghanistan, Australia, Bosnia and Herzegovina, Central African Republic, Democratic Republic of the Congo, Cuba, Eritrea, Ethiopia, Guinea-Bissau, Iran, Iraq, Lebanon, Libya, Democratic People’s Republic of Korea, Somalia, South Sudan, Syria, United States, Uganda, Vanuatu and Yemen are not eligible to participate in the Abachi Auction.
- Abachi asks that all participants read the disclaimer and go through our documentation to understand the platform.
