Auction

Bio Auctions run for a pre-set period of time (e.g., 7 days) and close once the time period expires, or the fundraise target is hit - whichever comes first. Participants deposit a base currency (e.g., ETH on Base or SOL on Solana) to buy the BioDAO's tokens. If an auction fails to reach its minimum fundraise target within the pre-set period, both Curators and auction participants are able to reclaim their tokens.

Pricing

• Bio Auctions are uniform-price, meaning all auction participants receive the BioDAO's tokens at the same final price determined at the end of the auction.

• Each auction is set with a minimum and maximum BioDAO valuation, as well as a minimum and maximum raise.

• As users deposit funds into the auction, the BioDAO valuation increases linearly.

• The auction is set to close automatically once the maximum valuation is reached, or when the time period expires.

• The auction must also reach the minimum funding amount to successfully close; if this amount is not reached within the time period, the auction is unsuccessful and auction participants can claim back their deposited funds.

Successful Raise

In the event of a successful auction raise:

• Auction participants (Funders) receive 30% of their BioDAO tokens immediately, and 70% vesting over one month.

• BIO Curators receive their discounted BioDAO tokens once their Curation lock completes. These discounted BioDAO tokens are subject to a vesting schedule that starts from the time of the auction closing. In the initial batch of BioDAOs, vesting for Curators is set to 6-months, with a 3-month cliff.

Curator Discount

• In the initial batch of BioDAO auctions, Curators are offered a discount that is at least 10% below the closing valuation of the auction.

• For example, using the the Example Auction Parameters below, if a minimum of $450,000 is raised, Curators receive BioDAO tokens at a $2.7M FDV (10% below the $3M minimum FDV). If the auction raises its maximum of $3M (or $20M FDV), it means Curators receive their vesting BioDAO tokens 7.4X below the auction's closing price.

Example Auction Allocation:

Allocation Buckets	Allocation (%)
BIO Protocol	6.90%
Core team	20.00% (1 year cliff, 3 year vest)
BIO Curation	5.00%
Auction Sale	15.00%
Community Treasury	53.10%
Total	100.00%

Example Auction Parameters

Auction Parameters	Value
Reserve Price (FDV)	$3,000,000
Max Price (FDV)	$20,000,000
% BioDAO Token Allocation	15.00%
Min Raise	$450,000
Max Raise	$3,000,000