Purchasing piggies on auction
SmartPiggies that are on auction can be purchased from the "Explore Markets" tab on the SmartPiggies app. To purchase a piggy from the market, navigate to the market explore by clicking the "Explore Markets" tab:
The Explore Markets section lists all piggies for sale. Once there, anyone can purchase a piggy that appears in the market. If you find a piggy that meets your requirements, click the "Buy" button to purchase:
This will prompt a confirmation model to approve the purchase, and make an on chain transaction. Once the transaction has been confirmed, you will become the holder of the piggy, which will confer all rights of the owner to the transacting account (e.g. if the piggy executes as an american style option, you may call an oracle to settle the piggy prior to expiry and collect any payout).
Piggies for sale are denominated in the collateral tokens deposited in the piggy. If the piggy settles in DAI, the premium to purchase the piggy will be paid in DAI. This requires that the buyer have enough DAI in their wallet to cover the purchase price, as well as enough ETH to cover the transaction fee
. If a user is going to purchase a piggy with DAI, the user must approve transfer of the token on behalf of the SmartPiggies smart contract. This is the standard approval process for most ERC20 tokens.
Piggies are listed in either the Available Contracts section or the Requested Contracts section. If a piggy appears in the Requested section, the piggy is a Request For Piggy (RFP) and is waiting to be "filled" with collateral from anyone wanting to provide liquidity for that piggy. In this section, the piggies will be able to be filled, where by collateral is transferred, from the fulfiller, into the piggy. In these types of purchases, the owner remains the requester, and the writer becomes the fulfiller (or this purchaser). To buy an RFP, click the "fill" button on the RFP:
The "purchaser" in this scenario is taking the premium being offered from the requester, which increases as the auction proceeds, and deposits collateral into the piggy. This is in effect creating or instantiating a piggy. Because the piggy is being funded, the fulfiller will need to have the available collateral to deposit (as well as making sure that the collateral is approved to be transferred on behalf of the SmartPiggies smart contract).
Once the RFP is funded, it will become a "real"
piggy, where the fulfiller/purchaser will become the underwriter, and the requester will remain the owner/holder, resulting in the piggy now being active.
1 As the SmartPiggies smart contracts are currently deployed to Arbitrum, the user will need the collateral token on Arbitrum, and ArbGas for the transaction.
2 We make the distinction between "real" piggies and "virtual" piggies, purely for illustrative purposes, as the technical difference between a piggy and an RFP is that an RFP has no writer and no collateral, which we consider to be a pre-piggy, or "virtual" piggy.