《Alpha's Points Trap》A real-life version of the one-dollar auction trap story:

💵 The One-Dollar Auction Trap: A game that makes you get deeper and deeper

💰 Imagine this: An auctioneer brings out a $1 bill for auction. Special rules:

1️⃣ Highest bidder wins (wins the $1 bill).

2️⃣ But the second highest bidder must also pay their last bid, but gets nothing!

❓ How does the trap form?

🔶 In the beginning, people bid rationally (less than $1, such as 5 cents, 10 cents), wanting to make a little money.

🔶 When the highest bid reaches (for example) 90 cents, and the second highest bid is 85 cents:

🔶 The 90-cent bidder: wins the auction, pays 90 cents to get $1, and makes a net profit of 10 cents.

🔶 The 85-cent bidder: gets nothing, but has to pay 85 cents for nothing!

🔶 At this time, the 85-cent bidder faces a huge temptation: adding a little more money (such as bidding 95 cents) can overtake and become the winner (earning 5 cents) instead of losing 85 cents.

🔶 The opponent (the original 90-cent bidder) has the same idea: in order to avoid losing 90 cents, they also choose to increase the price (such as bidding 96 cents).

* In this way, both parties fall into an escalating cycle, constantly increasing prices, far exceeding the value of the $1 itself (for example, bidding up to $2, $5)! Because they all want to 'win' back sunk costs or avoid being the 'second place' who suffers heavy losses.

🔶 Core issue:

This trap cleverly uses people's 'loss aversion psychology' (fear of loss is stronger than the desire to gain) and 'competitive mindset'. Participants invest resources far exceeding the value of the item in order to recover small losses or avoid becoming a 'loser', resulting in significant net losses for both parties or one party. It vividly demonstrates how rational individuals can be lured into a collective irrational dilemma under specific rules.

🔶 A one-sentence summary: A seemingly profitable low-price auction, due to the rule that 'the second place must also pay', induces bidders to constantly increase prices in order to recover losses or avoid failure, eventually paying a price far exceeding the value of the item.

🔶 Does this story resemble the points trading competition you are currently participating in? Or even the Alpha airdrop event itself?