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ArNS: Instant vs Auction
ArNS provides two pathways for securing names: INSTANT BUYS and AUCTIONS.
Let’s look at how these options can affect your digital presence on the permaweb.
The shorter the name, the harder to obtain
Purchase options are based on the number of characters in an ArNS name.
Here's a guide to what options are available based on the character length:
Instant Buying: Immediate and Predictable
Instant buying is straightforward:
Users immediately secure their preferred ArNS name
Prices are fixed based on a name's length
Ideal for temporary or lower profile projects
The appeal of instant buying is in predictability and immediacy. It’s a good option for users who want to quickly establish a digital identity without the uncertainties of competitive bidding.
Auctions: The Fair Market Approach
Auctions follow a two bid Dutch Auction model to align price with demand:
After the initial bid, of at least the floor price, the auction price then moves to the ceiling price.
The price will then start to decrease until a buyer steps in
If no additional bid is ever made the initial bid will win the name when the price decreases to that point
The original bidder is allowed, as well, to come in with the second bid to purchase the name
This auction model ensures short or desirable names go to those with genuine user interest, not squatters
Auctions add a dynamic and market-driven aspect to the process of name acquisition. This is essential for premium names where value fluctuates with demand.
Pick your purchase option
Decision-Making: Choose instant buying for a fast, fixed-price purchase, or opt for auctions to potentially secure a premium name
Budgeting: Allocate funds according to the buying strategy that aligns with your needs, keeping in mind the potential for much higher costs with auctions
Timing: Instant buying provides immediate ownership, whereas auctions entail a strategic wait-and-see approach for the best price. ArNS name auctions typically take around two weeks to complete.
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