ELI5: Explain Like I'm 5

Bidding

Bidding is like playing a game where you want to buy something. Let's say you want to buy a toy. But, there are many other children who also want to buy the same toy. So, you and the other children decide to play a game to see who will get the toy.

In this game, you and the other children will each have some money. You will have to tell the seller how much money you are willing to pay for the toy. Then, the seller will choose the child who offers the most money to sell the toy to. This is called winning the bid.

The fun part of the game is that you can offer any amount of money you want! But, you have to be smart about it. You don't want to offer too little money, because someone else might offer more and get the toy instead of you. But you also don't want to offer too much money, because then you might waste your money.

So, you have to think carefully about how much you are willing to pay for the toy, and offer your bid. Whoever offers the most money wins the toy!