'How opensea auction smart contract work without storing the ether
Trying to understand how opensea "Make the bid" work. Whenever any interested buyer wants to buy an NFT, they have to create an offer,in which they basically sign a message(commitment)(which is not costing gas fees). I didn't understand how this thing works behind the scene. If, let say, i made an offer for 3 days and i won the bid or seller accepted the bid, and i don't have required ether(the bid amount) at that moment, then what will happen?
Auction smart contract basically take bidder amount as stake, and when auction end, if user doen't won the auction, transfer staked ether back, but in both the above process staking ether+paying transaction fees, these extra overhead is there.
Opensea doesn't follow staking of bidding amount and hence save user from paying transaction fees + staking ether. But they ask user to sign for confirmation of bid. Can anyone explain whats technically happening?
I have gone through below links also but this doesn't answer how opensea is working.
Link 2: https://ethereum.stackexchange.com/questions/110749/auction-data-on-chain-or-off-chain
In link 2, they mention "Commitments are created by signing "messages". These are off-chain transactions. However, cancelling transactions requires posting on-chain." But how is it actually working?
Sources
This article follows the attribution requirements of Stack Overflow and is licensed under CC BY-SA 3.0.
Source: Stack Overflow
| Solution | Source |
|---|