ADDAX Trading Game Round 2 Report - The Dutch Auction & Insights on Day 1

Almost 24 hours since the launch of ADDAX Round 2, and we may well be seeing the start of the post-auction phase of the game.

The key data has not changed in the last few hours:

ADDAX fund value = 988 STEEM
Tokens in play = 14,935
ABV estimate = 6.62 STEEM cents (0.0662 STEEM)

Given that there are some free tokens, this is a very good start. As described in a previous post, would have been nice to hav seen this push towards 20 cents and a slightly higher average ABV, but where we are is fine.

The Dutch auction

This was interesting as it was the first time that we had so many open buys on the market. Hard to tell, but I think we also had a few people who attended live, as I could see some of the offers changing. We also learnt something new about how the Steem Engine DEX works during a Dutch auction.

We, of course, conducted a Dutch auction for the TULIP Mania Game, but most players just made offers at the lowest possible price - some got caught out as the price then went even lower, but that was a matter of being awake and reacting. In this ADDAX-2 game it was a different scenario.

As I am placing new tokens on the market, the DEX reacts by processing the highest available open buy that is above the newly-created price-points. This meant that even the 1-cent tokens were sold for over 2 cents because there were still open orders at that level, and they had priority over lower-priced orders.

I could see that many would have been disappointed at the end of the Dutch auction, but is a lesson for the optimum strategy for the start of the next game.

The buying phase

It was also good to see the buying momentum after the end of the Dutch auction. Sure, would be great if there were a few hundred people playing, but hopefully that will happen some day.

I mentioned in the previous post about some of the mathematics of the distribution; possibly that encouraged the buying - I'm not sure, would need some feedback on that.

At about 20 cents, the ABV would be about 74%, rising slowly to 75% at about 30 cents and then almost flattening out beyond that. We haven't yet reached 20 cents, but with the 11-cent price-point not yet fully sold, we are seeing an ABV of about 66%. This is about 5% lower than expected and wholly due to the free tokens. I have said many times that free tokens are not really free, and this rather proves it.

Any feedback is appreciated. Now it's time for me to do some work!

Building Steem's Fintech