🎯1.4. Auction

The auction program of Carpe Diem Pension adds a vital business model to the system, while in turn giving users the chance to buy shares at a discount. Users participate by depositing PulseChain’s native coin PLS. All PLS deposits are stored and can be send to the revenue address of Carpe Diem at any time and by anyone.

Each time a user deposits or compounds CDP, shares are added to the auction pool. Each day, five percent of the pool is auctioned off.

The auction can be seen as a Pooled Auction: All user PLS deposits are added to a pool and at the end of the day, the available shares are equally assigned to participants. More deposits result in fewer shares rewarded per PLS deposited. A deposit is permanent and cannot be refunded in any case. As the end of the day might be important, Carpe Diem Pension’s days last 20 hours. This means that the end of the CDP Day shifts compared to Earth days. Users need to claim their assigned shares from the auction. There is no time limit for this.

1.4.1. DoDailyUpdate

Each day, someone needs to call doDailyUpdate() that:

• Calculates and assigns the auction shares to participants

• Prints and stores the daily inflation

This transaction can only be called once a day (20 hours) and the caller needs to pay network fees for it.

1.4.2. Revenue

Deposited PLS for the auction acts as revenue and treasury for Carpe Diem. The PLS is stored inside the system and is sent to an address with the nickname “swiss_addr” once someone calls withdrawPLS(). Users should have no expectation of this address. Anyone can call this function, but it is subject to network fees, and users cannot expect to benefit from calling this function. This extra layer, compared to automatic distribution, decreases the height of network fees for other functions.

1.4.3. Summary

The auction has some features and rules:

• The auction auctions shares

• The sole currency of payment is PLS

• Participation is permanent and PLS deposited cannot be refunded.

• Placing multiple deposits is both possible and allowed.