SkyPirl Blockchain
  • SkyPirl (Pirl)
    • Docs.Pirl.io
    • About SkyPirl (Pirl)
    • Mission
    • Create SkyPirl 2.0 wallet
    • Restore wallet with secret 12 phrase
    • How to be a Nominator
    • SkyPirl coin specifications
    • Run a validator
    • How to unbound fund
    • How payout works
    • How to vote for Council
    • How to set identity
    • SLASHES
    • Refund of slashed
    • COIN SPECIFICATION
    • Governance and Treasury
    • Telemetry
    • List of wallet addresses not working
    • Spend from the treasury and Burn
    • Mint coins and transfer coins to the treasury
      • Treasury2
    • Burn2
    • Source Code
    • List of wallets holding coins of burned wallets with PIRL balance at block 3939000
  • About SkyPirl (Pirl)
  • Mission
  • PIRLmeet.com
    • About PIRLmeet.com
    • Free Trial
    • CINEMA
    • Microphone On-Off
    • Screen Sharing
      • Share—or don't share your audio
      • Video recording tutorial + camera + mp4 video download
    • Hands Up
    • Change the ringtone when giving a raise of hand
    • Stream MP4 videos
    • Stream mp4 video on Firefox browser
    • Cabinet Lock
      • Cabinet Lock account
      • Normal-Demo
      • How can I cabinet lock and keep strangers from entering the room?
      • How can I add people to the room when the room is locked?
    • Text chat
      • Room chat
      • Cabinetlock Chat
      • private chat per video
    • Connect Pirl wallet to Room-House
    • Change cover photo
    • Video title name
    • Setting up you own Room-House
    • How to download videos on youtube, Facebook and convert to mp4 files
    • Use camera beautification App when livestream
    • PIRLmeet can create meetings that last 24/7 and 365 days a year.
    • How does PIRLmeet secure products?
    • Get Pirl coin when playing videos on Room-house
    • Picture
    • OBS Studio
      • Download
      • Screen sharing and front camera
      • Stream video from R-H to Youtube
      • Stream games
      • Stream Video and Record Video and download videos
      • Good quality video settings
      • Edit the frame and choose the recording frame
    • Source Code
  • Game
    • Room-House.com and games
    • Slot Machine
      • Connect the slot machine to the SkyPirl Light Wallet.
      • Connect Room-House.com to the slot machine
  • SkyPirl Light Wallet
  • PIRL Decentralized Charity Foundation
  • SkyPirl Community
  • Apps for Android and IOS (PWA)
    • Android
    • Iphone (IOS)
    • Computer-Windows-PC
  • Business Paradigm R-H
    • Use SkyPirl coin to pay in Room-House.com
  • Roadmap
  • Core Team
  • xTer . Technology
    • About xTER SafeContainer
    • xTer Ecosystem
    • xTer SkyPirl
    • xTer Room-House
      • How to Room-House
    • xTer Room-House Plus
      • How to xTer room-House plus
    • xTer TrueAD
    • xTer SmartFilter
  • White Paper
  • Blog
    • News
      • ------What is Web 1.0, 2.0, 3.0?------
      • The world's first decentralized audio chat room Room-House
      • What's so special about decentralized audio chat rooms?
      • Features that make Room-House.com decentralized chat rooms competitive with giants
      • Ever heard of Decentralized Charity Fund?
      • What is online meeting? 4 most effective online conferencing solutions
      • What is online meeting? Is it easy or difficult to organize?
      • What is the standard of a professional online meeting room?
      • History of the world's first online meeting software
      • Decentralized Application Room-House.com (Daap)
      • In what year was the internet born? And the birth of the project SkyPirl
      • Cooperation between Room-House and Russian State Social University
      • Building SkyPirl Decentralized Internet in Space
      • Data collection is a huge industry that operates in the dark
      • Free and easy decentralized internet for everyone to use
      • What is Pirl (PIRL) ? Community Based Project Pioneering in Introducing Masternode Technology
      • PirlGuard — Innovative Solution against 51% Attacks
      • ETC and PirlGuard Cybersecurity Plan
      • PirlChat messenger release
      • Overview of PirlChat 0.5.1–0.6 Beta Versions
      • Decentralized blockchain messengers
      • PirlChat messenger version 1.0.4 released
      • What is Pirl 2.0 and what changes will come to the Pirl network
      • The Pirl project announced the launch of its own exchange
      • PIRL’s Content Masternodes Are Almost Out: What You Need to Know
      • PIRL Masternodes and DApps Overview
      • PIRL Decentralized Charity Foundation - SkyPirl
      • Thanks to PirlGuard, Callisto is protected against 51% attacks
      • What is SkyPirl(PIRL) project?
      • Here is the sci-fi story of the decentralized social network PIRL:
      • What is Callisto-Pirl.com project?
      • Here is the legend of the multi-planetary decentralized internet space station PIRL:
      • PIRL decentralized social network has the following key differences:
      • The SM feature of the decentralized social network PIRL seems to be an interesting secret.
      • SkyPirl(PIRL) is designed to attract investors with attractive features:
      • SkyPirl project does not sell ICO (Initial Coin Offering) or not raise funds for the following reaso
      • Merry Christmas and a Happy New Year! SkyPirl Callisto-Pirl.com
      • SkyPirl Project Merry Christmas Story:
      • Happy New Year! SkyPirl Callisto-Pirl.com
      • Here's the story of the SkyPirl Mars Exploration Project:
      • Multiplanetary Billionaire
      • Lost in space
      • The Last Space Train
      • The future of society: Polarization of rich and poor in the 4.0 revolution
      • Callisto-Pirl.com Civil War
      • Callisto-Pirl.com Civil War 2
      • Callisto-Pirl.com Civil War 3
      • Callisto-Pirl.com Civil War 4
      • Callisto-Pirl.com Civil War 5
      • Callisto-Pirl.com Civil War 6
      • Callisto-Pirl.com Civil War 7
      • Callisto-Pirl.com Civil War 8
      • Callisto-Pirl.com Civil War 9
      • Callisto-Pirl.com Civil War 10
      • Callisto-Pirl.com Civil War 11
      • Callisto-Pirl.com Civil War 12
      • Page 6
      • Page 5
      • Page 4
      • Page 3
      • Page 2
      • Page 1
      • Page
    • Technical
      • What is Bitcoin? How are Bitcoins created?
      • Export Your Private Key from Third-Party Wallets
      • What Is a Stablecoin?
      • What Is Wrapped Bitcoin?
      • 7 Ways to Generate Passive Income With Crypto
      • What is a decentralized social network?
      • How many Bitcoins can be mined in a day?
      • How many Bitcoins are there in the world?
      • What is a decentralized exchange? different from centralized floor?
      • What is Staking? 5 things to note when investing in Staking
      • What Are Blockchain Bridges?
      • Compare Hot Wallet and Cold Wallet, which one should you use?
      • What is NFT?
      • Building a Decentralized Internet in Space
      • Web 3.0 Paradox
      • Controversy about the future of the Internet
      • The metaverse virtual universe could revolutionize the Internet
      • 'Blockchain is the most influential technology since the Internet'
      • Web3 - Expectations for the Decentralized Internet
      • What is Dapp? The concept of Dapp and their classification
      • How Decentralized Web Browsers Give You Unsurpassed Privacy
      • Is Web 3.0 being hyped?
      • What are Nodes? Types of Nodes in Blockchain
      • Blockchain can be hacked or not?
      • What is Private Key and Public Key in Bitcoin?
      • What is a Nonce in Blockchain?
      • What is Decentralized Autonomous Cooperative (DAC)?
      • What is Genesis Block?
      • What is Web3? Explaining the Decentralized Internet of the Future
      • Z-Consensus CLO
      • DEX223 Explanation
      • CLOIP
        • CLOIP-1
        • CLOIP-2
        • CLOIP-3
        • CLOIP-4
      • Skuld Hard Fork: Transforming Callisto Network with Dynamic Monetary Policy
      • Dex223 ICO
      • CoinSavi là gì?
      • SLOFI Token
    • Pi NetWork
      • Pi NetWork ( English )
        • Pi Network (PI) Mining Step by Step Guide
        • How to Create a Pi Wallet
        • How to KYC Pi Network 100% Success (2023)
        • Pi Network Security Circle: How to Add Users to Security Circle?
        • How to Migrate Your Mining Pi Coin to Mainnet in 8 Steps (See Video)
        • Why Pi Network can become the most active existence of mobile smart cryptocurrency?
        • FAQ? (FAQ)
      • Pi NetWork ( Tiếng Việt)
        • Pi NetWork là gì?
        • Cách KYC Pi Network 100% thành công (2023)
        • Vòng tròn bảo mật là gì?
        • Hướng dẫn tạo ví Pi Network
        • Cách Đào Pi Trên Điện Thoại
        • Cài đặt tên như thế nào là đúng trong Pi Network
        • Bạn cần xác nhận ngay VÍ PI THẬT để chuẩn bị chuyển SỐ PI XỊN vào ví pi sau khi hoàn thành KYC.
        • Hướng dẫn cách rút chuyển Pi về Ví Mainnet
        • Cách tăng tốc độ Đào Pi Network
        • Tại sao Pi Network có thể trở thành sự tồn tại tích cực nhất của tiền điện tử thông minh di động?
        • Hỏi đáp (FAQ)
    • Việt Nam
      • Pirl (PIRL) Là Gì ? Dự Án Dựa Trên Cộng Đồng Đi Tiên Phong Trong Việc Giới Thiệu Công Nghệ Masternod
      • Giới thiệu về SkyPirl (Pirl)
      • Sứ Mệnh Pirl2.0
      • Phần mềm Room-House.com là gì
      • Giới thiệu về Room-House.com
      • Room-House có thể tạo các cuộc họp kéo dài 24/7 và 365 ngày một năm.
      • Room-House.com bảo mật sản phẩm như thế nào?
      • Giới thiệu về xTER SafeContainer
      • Kế hoạch an ninh mạng của ETC và PirlGuard
      • Quỹ từ thiện phi tập trung Pirl
      • Phát hành trình nhắn tin PirlChat
      • Tổng quan về các phiên bản Beta của PirlChat 0.5.1–0.6
      • Trình nhắn tin chuỗi khối phi tập trung
      • PirlChat messenger phiên bản 1.0.4 được phát hành
      • Pirl 2.0 là gì và những thay đổi nào sẽ đến với mạng Pirl
      • Dự án Pirl đã công bố ra mắt sàn giao dịch của riêng mình
      • Masternode nội dung của PIRL sắp hết: Những điều bạn cần biết
      • Tổng quan về PIRL Masternodes và DApps
      • Xây dựng Internet phi tập trung SkyPirl trong không gian
      • Nhờ PirlGuard, Callisto được bảo vệ chống lại các cuộc tấn công 51%
    • Russia
      • ------Что такое Web 1.0, 2.0, 3.0?------
      • Первый в мире децентрализованный аудиочат Room-House
      • Что такого особенного в децентрализованных аудиочатах?
      • Функции, которые делают децентрализованные чаты Room-House.com конкурентоспособными с гигантами
      • Вы когда-нибудь слышали о Децентрализованном благотворительном фонде?
      • Что такое онлайн-встреча? 4 самых эффективных решения для онлайн-конференций
      • Что такое онлайн-встреча? Легко или сложно это организовать?
      • Каков стандарт профессионального онлайн-зала для встреч?
      • История первого в мире программного обеспечения для онлайн-встреч
      • Децентрализованное приложение Room-House.com (Daap)
      • В каком году родился Интернет? И рождение проекта SkyPirl
      • Сотрудничество Room-House и Российского государственного социального университета
      • Создание децентрализованного Интернета SkyPirl в космосе
      • Сбор данных — это огромная индустрия, которая работает в темноте
      • Бесплатный и простой децентрализованный Интернет, которым может пользоваться каждый.
      • Что такое Пирл (PIRL)? Пионерский проект сообщества по внедрению технологии мастернод
      • PirlGuard — инновационное решение против атак 51%
      • План кибербезопасности ETC и PirlGuard
      • Релиз мессенджера PirlChat
      • Обзор бета-версий PirlChat 0.5.1–0.6
      • Децентрализованные мессенджеры на блокчейне
      • Вышла версия мессенджера PirlChat 1.0.4
      • Что такое Pirl 2.0 и какие изменения произойдут в сети Pirl
      • Проект Pirl объявил о запуске собственной биржи
      • Мастерноды контента PIRL почти закончились: что вам нужно знать
      • Обзор мастернод PIRL и DApps
      • Децентрализованный благотворительный фонд PIRL
      • Благодаря PirlGuard Каллисто защищен от атак 51%
    • China
      • ------什么是Web 1.0、2.0、3.0?------
      • 全球首个去中心化音频聊天室Room-House
      • 去中心化音频聊天室有什么特别之处?
      • 让 Room-House.com 去中心化聊天室与巨头竞争的功能
      • 听说过去中心化慈善基金吗?
      • 什么是线上会议?4种最有效的在线会议解决方案
      • 什么是线上会议?组织起来容易还是困难?
      • 专业的网络会议室的标准是什么?
      • 世界上第一个在线会议软件的历史
      • 去中心化应用室-House.com (Daap)
      • 互联网诞生于哪一年?SkyPirl 项目的诞生
      • Room-House与俄罗斯国立社会大学合作
      • 在太空中构建 SkyPirl 去中心化互联网
      • 数据收集是一个在黑暗中运作的庞大行业
      • 免费且简单的去中心化互联网,供所有人使用
      • 什么是皮尔(PIRL)?基于社区的项目开创了引入主节点技术的先河
      • PirlGuard — 针对 51% 攻击的创新解决方案
      • ETC 和 PirlGuard 网络安全计划
      • PirlChat 即时通讯软件发布
      • PirlChat 0.5.1–0.6 Beta 版本概述
      • 去中心化区块链信使
      • PirlChat 即时通讯软件 1.0.4 版发布
      • 什么是 Pirl 2.0,Pirl 网络将发生哪些变化
      • Pirl项目宣布推出自己的交易所
      • PIRL 的内容主节点即将退出:您需要了解的内容
      • PIRL 主节点和 DApp 概述
      • PIRL 去中心化慈善基金会
      • PirlGuard – 51% 攻击防护
    • Japan
      • -------Web 1.0、2.0、3.0とは何ですか?------
      • 世界初の分散型音声チャットルーム Room-House
      • 分散型音声チャット ルームの何がそんなに特別なのでしょうか?
      • Room-House.com の分散型チャット ルームを大手企業と競争できるようにする機能
      • 分散型慈善基金について聞いたことがありますか?
      • オンライン会議とは何ですか?最も効果的な 4 つのオンライン会議ソリューション
      • オンライン会議とは何ですか?整理するのは簡単ですか、それとも難しいですか?
      • プロフェッショナルなオンライン会議室の基準は何ですか?
      • 世界初のオンライン会議ソフトウェアの歴史
      • 分散型アプリケーション Room-House.com (Daap)
      • インターネットが誕生したのは何年ですか? そしてSkyPirlプロジェクトの誕生
      • SkyPirl 分散型インターネットを宇宙に構築する
      • データ収集は暗闇で行われる巨大産業です
      • 誰もが使える無料で簡単な分散型インターネット
      • ピル(PIRL)とは何ですか?マスターノードテクノロジーの導入における先駆的なコミュニティベースのプロジェクト
      • PirlGuard — 51% 攻撃に対する革新的なソリューション
      • ETC および PirlGuard サイバーセキュリティ プラン
      • PirlChatメッセンジャーのリリース
      • PirlChat 0.5.1 ~ 0.6 ベータ版の概要
      • 分散型ブロックチェーンメッセンジャー
      • PirlChat メッセンジャー バージョン 1.0.4 がリリースされました
      • Pirl 2.0 とは何か、Pirl ネットワークにどのような変更が加えられるか
      • Pirlプロジェクトが独自の取引所の立ち上げを発表
      • PIRL のコンテンツ マスターノードが間もなく終了します: 知っておくべきこと
      • PIRL マスターノードと DApps の概要
      • PIRL 分散型慈善財団
      • PirlGuard のおかげで、Callisto は 51% の攻撃から保護されています
    • Hindi
      • ------वेब 1.0, 2.0, 3.0 क्या है?------
      • Page दुनिया का पहला विकेन्द्रीकृत ऑडियो चैट रूम रूम-हाउस
      • विकेन्द्रीकृत ऑडियो चैट रूम के बारे में क्या खास है?
      • ऐसी विशेषताएँ जो रूम-हाउस.कॉम विकेंद्रीकृत चैट रूम को दिग्गजों के साथ प्रतिस्पर्धी बनाती हैं
      • क्या आपने कभी विकेंद्रीकृत चैरिटी फंड के बारे में सुना है?
      • ऑनलाइन मीटिंग क्या है? 4 सबसे प्रभावी ऑनलाइन कॉन्फ्रेंसिंग समाधान
      • ऑनलाइन मीटिंग क्या है? क्या इसे व्यवस्थित करना आसान है या कठिन?
      • एक पेशेवर ऑनलाइन मीटिंग रूम का मानक क्या है?
      • दुनिया के पहले ऑनलाइन मीटिंग सॉफ़्टवेयर का इतिहास
      • विकेन्द्रीकृत अनुप्रयोग रूम-हाउस.कॉम (डीएएपी)
      • इंटरनेट का जन्म किस वर्ष हुआ था? और प्रोजेक्ट स्काईपिरल का जन्म
      • अंतरिक्ष में स्काईपिरल विकेन्द्रीकृत इंटरनेट का निर्माण
      • डेटा संग्रह एक बहुत बड़ा उद्योग है जो अंधेरे में काम करता है
      • हर किसी के उपयोग के लिए मुफ़्त और आसान विकेन्द्रीकृत इंटरनेट
      • पर्ल (PIRL) क्या है? समुदाय आधारित परियोजना मास्टर्नोड प्रौद्योगिकी के परिचय में अग्रणी है
      • पिरलगार्ड - 51% हमलों के खिलाफ अभिनव समाधान
      • ईटीसी और पिरलगार्ड साइबर सुरक्षा योजना
      • PirlChat मैसेंजर रिलीज़
      • PirlChat 0.5.1–0.6 बीटा संस्करणों का अवलोकन
      • विकेन्द्रीकृत ब्लॉकचेन संदेशवाहक
      • PirlChat मैसेंजर संस्करण 1.0.4 जारी किया गया
      • Pirl 2.0 क्या है और Pirl नेटवर्क में क्या बदलाव आएंगे
      • पर्ल प्रोजेक्ट ने अपने स्वयं के एक्सचेंज के लॉन्च की घोषणा की
      • पीआईआरएल के कंटेंट मास्टरनोड्स लगभग समाप्त हो चुके हैं: आपको क्या जानना चाहिए
      • पीआईआरएल मास्टरनोड्स और डीएपी अवलोकन
      • पीआईआरएल विकेंद्रीकृत चैरिटी फाउंडेशन
      • PirlGuard को धन्यवाद, कैलिस्टो 51% हमलों से सुरक्षित है
    • Charity
      • Децентрализованный благотворительный фонд PIRL
      • PIRL 去中心化慈善基金会
      • PIRL 分散型慈善財団
      • Yayasan Amal Terdesentralisasi PIRL
      • PIRL विकेंद्रीकृत चैरिटी फाउंडेशन
      • Fundación Benéfica Descentralizada PIRL
      • Pirl المؤسسة الخيرية اللامركزية
      • קרן צדקה מבוזרת של PIRL
      • PIRL 분산형 자선 재단
      • PIRL Dezentrale Wohltätigkeitsstiftung
      • Ang mga desentralisadong charity fund Pirl
      • ມູນນິທິການກຸສົນ PIRL Decentralized
      • PIRL Decentralized caritas Foundation
      • มูลนิธิ PIRL Decentralized Charity Foundation
      • PIRL төвлөрсөн бус буяны сан
      • PIRL Weqfa Xêrxwazî ​​ya Nenavendî
      • Fundacja Dobroczynności Zdecentralizowanej PIRL
      • PIRL Gedesentraliseerde Liefdadigheidstigting
      • PIRL Adɔe Fapem a Wɔde Di Dwuma wɔ Decentralized
      • Fondacioni i Decentralizuar i Bamirësisë PIRL
      • PIRL ያልተማከለ የበጎ አድራጎት ድርጅት
      • PIRL ապակենտրոնացված բարեգործական հիմնադրամ
      • PIRL Mərkəzləşdirilməmiş Xeyriyyə Fondu
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      • Fundación Caridad Descentralizada PIRL rehegua
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      • Faawundeeshinii Arjummaa Giddugaleessa Hin Qabne PIRL
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      • PIRL Fundación Caridad Descentralizada nisqa
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      • PIRL 去中心化慈善基金會
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On this page
  • Mechanics of a Candle Auction​
  • Rationale​
  • Polkadot Implementation​
  • Bidding​
  • FAQ​
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  1. FAQ?
  2. Learn
  3. Paraobjects
  4. Parachains

Parachain Slots Auction

PreviousCommon Good ParachainsNextParachain Crowdloans

Last updated 1 year ago

For a to be added to Polkadot it must inhabit one of the available parachain slots. A parachain slot is a scarce resource on Polkadot and only a limited number will be available. As parachains ramp up, there may only be a few slots that are unlocked every few months. The goal is to eventually have 100 parachain slots available on Polkadot (these will be split between parachains and the ). If a parachain wants to have guaranteed block inclusion at every Relay Chain block, it must acquire a parachain slot.

The parachain slots will be sold according to an unpermissioned that has been slightly modified to be secure on a blockchain.

Candle auctions are a variant of open auctions where bidders submit bids that are increasingly higher and the highest bidder at the conclusion of the auction is considered the winner.

Candle auctions were originally employed in 16th century for the sale of ships and get their name from the "inch of a candle" that determined the open period of the auction. When the flame extinguished and the candle went out, the auction would suddenly terminate and the standing bid at that point would win.

When candle auctions are used online, they require a random number to decide the moment of termination. Parachain slot auctions differ slightly from a normal candle auction in that they do not randomly terminate the auction. Instead, they run for an entire fixed duration and the winner is randomly chosen retroactively.

The candle auction on Polkadot is split into two parts: the opening period which is in effect immediately after the auction starts. This period lasts for one day and eighteen hours and serves as a buffer time for parachain candidates to setup their initial bids, and likely start executing their strategy on how to win the slot auction. During the opening phase, bids will continue to be accepted, but they do not have any effect on the outcome of the auction.

The opening period then transitions into an ending period of five days, where the auction is subject to end based on the candle auction mechanism.

This process executes in the next epoch (which lasts for six hours on Polkadot) after the ending period. The parachain candidate with the highest bid at the ending time chosen by the VRF wins the slot auction.

INFO

With one day and eighteen hours for the starting period, five days for the ending period (candle auction phase) and six hours for determining the auction winner, a parachain auction on Polkadot lasts exactly one week from the start.

RANDOMNESS EXAMPLE

The following example will showcase the randomness mechanics of the candle auction for the ninth auction on Kusama. Keep in mind that the candle phase has a uniform termination profile and has an equal probability of ending at any given block, and the termination block cannot be predicted before or during the auction.

  • THE AUCTION HAS A FULL DURATION EQUAL TO block 9362014 + 72000

    Here, block 72000 is the "ending period", which is divided into 3600 samples of 20 blocks. Figuratively, the candle is lit, and the candle phase lasts for 72,000 blocks.

  • The winning sample during the ending period turned out to have the index 1078.

    SAMPLE 1078 IS THE WINNER

  • INSPECTING THE BLOCK STATE

  • As a result, the winner of this auction did not turn out to be the highest bid during the full duration.

The open and transparent nature of blockchain systems opens attack vectors that are non-existent in traditional auction formats. Normal open auctions in particular can be vulnerable to auction sniping when implemented over the internet or on a blockchain.

Auction sniping takes place when the end of an auction is known and bidders are hesitant to bid their true price early, in hopes of paying less than they actually value the item.

For example, Alice may value an item at auction for 30 USD. She submits an initial bid of 10 USD in hopes of acquiring the items at a lower price. Alice's strategy is to place incrementally higher bids until her true value of 30 USD is exceeded. Another bidder Eve values the same item at 11 USD. Eve's strategy is to watch the auction and submit a bid of 11 USD at the last second. Alice will have no time to respond to this bid before the close of the auction and will lose the item. The auction mechanism is sub-optimal because it has not discovered the true price of the item and the item has not gone to the actor who valued it the most.

On blockchains this problem may be even worse, since it potentially gives the producer of the block an opportunity to snipe any auction at the last concluding block by adding it themselves and/or ignoring other bids. There is also the possibility of a malicious bidder or a block producer trying to grief honest bidders by sniping auctions.

Candle auctions allow everyone to always know the states of the bid, but not when the auction will be determined to have ended. This helps to ensure that bidders are willing to bid their true bids early. Otherwise, they might find themselves in the situation that the auction was determined to have ended before they even bid.

Polkadot will use a random beacon based on the VRF that's used also in other places of the protocol. The VRF will provide the base of the randomness, which will retroactively determine the end-time of the auction.

The slot durations are capped to 2 years and divided into 3-month periods ; Parachains may lease a slot for any combination of periods of the slot duration. Parachains may lease more than one slot over time, meaning that they could extend their lease to Polkadot past the maximum duration by leasing a contiguous slot.

INDIVIDUAL PARACHAIN SLOTS ARE FUNGIBLE.

This means that parachains do not need to always inhabit the same slot, but as long as a parachain inhabits any slot it can continue as a parachain.

Parachain slots at genesis       --3 months--       v          vSlot A |     1    |     2     |     3     |     4     |     5     |     6    |     7     |     8     |     9     |...Slot B |     1    |     2     |     3     |     4     |     5     |     6    |     7     |     8     |     9     |...Slot C |__________|     1     |     2     |     3     |     4     |     5    |     6     |     7     |     8     |     9     |...Slot D |__________|     1     |     2     |     3     |     4     |     5    |     6     |     7     |     8     |     9     |...Slot E |__________|___________|     1     |     2     |     3     |     4    |     5     |     6     |     7     |     8     |     9     |...       ^                                                                                             ^       ---------------------------------------------max lease-----------------------------------------

Each period of the range 1 - 4 represents a 3-month duration for a total of 2 years

Bidders will submit a configuration of bids specifying the token amount they are willing to bond and for which periods. The slot ranges may be any of the periods 1 - n, where n is the number of periods available for a slot (n will be 8 for both Polkadot and Kusama).

NOTE

If you bond tokens with a parachain slot, you cannot stake with those tokens. In this way, you pay for the parachain slot by forfeiting the opportunity to earn staking rewards.

A bidder configuration for a single bidder may look like the following pseudocode example:

const bids = [  {    range: [1, 2, 3, 4, 5, 6, 7, 8],    bond_amount: 300,  },  {    range: [1, 2, 3, 4],    bond_amount: 777,  },  {    range: [2, 3, 4, 5, 6, 7],    bond_amount: 450,  },];

The important concept to understand from this example is that bidders may submit different configurations at different prices (bond_amount). However, only one of these bids would be eligible to win exclusive of the others.

A random number, which is based on the VRF used by Polkadot, is determined at each block. Additionally, each auction will have a threshold that starts at 0 and increases to 1. The random number produced by the VRF is examined next to the threshold to determine if that block is the end of the auction within the so-called ending period. Additionally, the VRF will pick a block from the last epoch to take the state of bids from (to mitigate some types of attacks from malicious validators).

There is one parachain slot available.

Charlie bids 75 for the range 1 - 8.

Dave bids 100 for the range 5 - 8.

Emily bids 40 for the range 1 - 4.

Let's calculate each bidder's valuation according to the algorithm. We do this by multiplying the bond amount by the number of periods in the specified range of the bid.

Charlie - 75 * 8 = 600 for range 1 - 8

Dave - 100 * 4 = 400 for range 5 - 8

Emily - 40 * 4 = 160 for range 1 - 4

Although Dave had the highest bid in accordance to token amount, when we do the calculations we see that since he only bid for a range of 4, he would need to share the slot with Emily who bid much less. Together Dave's and Emily's bids only equals a valuation of 560.

Charlie's valuation for the entire range is 600. Therefore Charlie is awarded the complete range of the parachain slot.

For the duration of the slot the tokens bid in the auction will be locked up. This means that there are opportunity costs from the possibility of using those tokens for something else. For parachains that are beneficial to Polkadot, this should align the interests between parachains and the Polkadot Relay Chain.

The method for dividing the parachain slots into intervals was partly inspired by the desire to allow for a greater amount of parachain diversity, and prevent particularly large and well-funded parachains from hoarding slots. By making each period a three-month duration but the overall slot a 2-year duration, the mechanism can cope with well-funded parachains that will ensure they secure a slot at the end of their lease, while gradually allowing other parachains to enter the ecosystem to occupy the durations that are not filled. For example, if a large, well-funded parachain has already acquired a slot for range 1 - 8, they would be very interested in getting the next slot that would open for 2 - 9. Under this mechanism that parachain could acquire just the period 9 (since that is the only one it needs) and allow range 2 - 8 of the second parachain slot to be occupied by another.

Another way, besides the candle auction, to acquire a parachain slot is through a secondary market where an actor who has already won a parachain slot can resell the slot along with the associated deposit of tokens that is locked up to another buyer. This would allow the seller to get liquid tokens in exchange for the parachain slot and the buyer to acquire the slot as well as the deposited tokens.

Mechanics of a Candle Auction

The auction’s ending time can be any time within this ending period, and is automatically and randomly chosen by the . The probability of winning the auction is equal to the number of blocks with a winning bid divided by the total number of blocks in the ending period. The random ending is managed by propagating through the entire ending period, where a snapshot is taken at each block within the ending period to capture the winners during that block. At the end of the period, one of the snapshots is randomly selected to determine the winner of the auction.

cannot be made during these six hours when the winning block for the auction is being determined on-chain.

More details on this is available in the section.

in action

Auction 9 starts at .

Sample 1078 refers to the winner as of block 9362014 + 21560, which equals .

The parent block was a new BABE session in the 'Logs', which updated the randomness that was used to select that .

You'd be able to inspect the state at the end of block 9434277 and see the sample indices with an . The digest in the 'Logs' of 9434277 is decodable and contains the random value as well as the BABE authorities.

Rationale

For this reason, , a variant of second price auction in which bids are hidden and only revealed in a later phase, have emerged as a well-regarded mechanic. For example, it is implemented as the mechanism to auction human readable names on the . The Candle auction is another solution that does not need the two-step commit and reveal schemes (a main component of Vickrey auctions), and for this reason allows smart contracts to participate.

Polkadot Implementation

Bidding

Parachains, or parachain teams, can bid in the auction by specifying the slot range that they want to lease as well as the number of tokens they are willing to reserve. Bidders can be either ordinary accounts, or use the to source tokens from the community.

The winner selection algorithm will pick bids that may be non-overlapping in order to maximize the amount of tokens held over the entire lease duration of the parachain slot. This means that the highest bidder for any given slot lease period might not always win (see the ).

Examples

FAQ

Why doesn't everyone bid for the max length?

How does this mechanism help ensure parachain diversity?

Why is randomness difficult on blockchains?

Randomness is problematic for blockchain systems. Generating a random number trustlessly on a transparent and open network in which other parties must be able to verify opens the possibility for actors to attempt to alter or manipulate the randomness. There have been a few solutions that have been put forward, including hash-onions like and (VRFs). The latter is what Polkadot uses as a base for its randomness.

Are there other ways of acquiring a slot besides the candle auction?

A number of system or common-good parachains may be granted slots by the of the Relay Chain. System parachains can be recognized by a parachain ID lower than 1_000, and common-good parachains by a parachain ID between 1_000 and 1_999. Other parachains will have IDs 2_000 or higher. Such parachains would not have to bid for or renew their slots as they would be considered essential to the ecosystem's future.

Resources

- W3F research page on parachain allocation that goes more in depth to the mechanism

- W3F breakdown and research update about candle auctions

W3F Research team discusses how to remedy current blockchain auction setbacks with candle auctions

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Verifiable Random Function (VRF)
Crowdloan contributions
Polkadot Implementation
Randomness
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block 9362014
block 9383574
sample index
archive node
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Vickrey auctions
ENS
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crowdloan functionality
example below
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RANDAO
verifiable random functions
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governing bodies
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Parachain Allocation
Research Update: The Case for Candle Auctions
Front-Running, Smart Contracts, and Candle Auctions
parachain
parathread pool
candle auction