BIDSHOP: Building a Reverse Auction Marketplace For NFTs

After a breakout year in 2021, NFTs have become quite the phenomenon in the creative and digital assets industry. There has been a buzz around NFTs, with stories about fortunes being made with the technology for both creatives and buyers alike. And like with almost every product that does well, there has been an oversupply of NFTs. Now, everyone and thousands of companies/projects have an NFT out in the market. This has led to the polarization of NFT marketplaces with low-quality NFTs. You see these NFTs with almost zero volume on marketplaces. In stark contrast, there are other very rare NFTs with high floor prices and small transaction volume. These rare NFTs are mostly quality, and they are put out of reach for a lot of participants in the market because of their price barrier. Another big risk with the NFT ecosystem is how fast a collection can become illiquid as a result of volatility, especially in a bear market. This has resulted in investors losing their investments after minting some NFTs due to illiquidity and some other factors. Of all these mentioned so far, perhaps one major issue that should be noted is that the current NFT marketplaces around have more bidding mechanisms in place than auction mechanisms. This removes a plethora of game theory factors which results in the reduction of the potential revenue for NFT sellers and the platforms they are on. All of these are major pain points facing the industry at the...