# Overview

The Auction Phase is the foundation of the <mark style="color:blue;">**FLEX**</mark> ecosystem. It is the only period during which <mark style="color:blue;">**FLEX**</mark> is initially distributed and the sole source of funding for Big Pay Days (BPDs). Every <mark style="color:blue;">**FLEX**</mark> token that enters circulation during this phase is minted directly by the protocol according to predefined rules.

The auction runs for **150&#x20;**<mark style="color:blue;">**FLEX**</mark>**&#x20;Days**, starting from Day 1. On each day, the protocol mints a fixed amount of <mark style="color:blue;">**FLEX**</mark> and distributes it to participants who contribute USDT during that day’s auction. All contributions made on the same day are pooled together, and <mark style="color:blue;">**FLEX**</mark> is allocated proportionally based on each participant’s share of the pool.

There are **no private sales, no pre-sales, no seed rounds, and no hidden allocations**. There is no early access and no preferential treatment. Every participant interacts with the same auction mechanism under the same rules, enforced entirely by smart contracts.

Participation in the auction is simple. A user contributes USDT during a given <mark style="color:blue;">**FLEX**</mark> Day and becomes entitled to a share of the <mark style="color:blue;">**FLEX**</mark> minted for that day. After the auction day ends, the user may claim their <mark style="color:blue;">**FLEX**</mark>. At that moment, they must choose whether to receive <mark style="color:blue;">**FLEX**</mark> as liquid tokens or commit it immediately as a stake. This choice is important, as it determines eligibility for Big Pay Days.

The auction phase serves two roles at the same time. First, it distributes <mark style="color:blue;">**FLEX**</mark> to participants in a transparent and fair manner. Second, it accumulates USDT that is later used to fund Big Pay Days, staking rewards, liquidity provisioning, and operational costs, all according to fixed allocation rules.

{% hint style="info" %}
Once the Auction Phase ends on <mark style="color:blue;">**FLEX**</mark> Day 150, **no further&#x20;**<mark style="color:blue;">**FLEX**</mark>**&#x20;can ever be minted through auctions**. From that point forward, new <mark style="color:blue;">**FLEX**</mark> enters circulation only through staking inflation, and the auction mechanism is permanently closed.
{% endhint %}

This makes the Auction Phase both a distribution period and an accumulation phase. It is the moment where <mark style="color:blue;">**FLEX**</mark> enters the ecosystem, participation is established, and long-term incentives are set in motion — all without discretion, governance, or manual control.


---

# Agent Instructions: Querying This Documentation

If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://flexdefi.gitbook.io/flex/daily-auctions/summary.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.