Concept: As has been thoroughly discussed, "bonds" originally allowed projects to sell governance tokens while deferring market impact of their sale, and providing the community an opportunity to buy tokens at a discount for being willing to hold the asset. The original implementations of bonds used a set vesting duration or timestamp. Projects had to determine (with some advice from the team) the best vesting period to offer to optimize between discount and vesting duration. However, a fixed discount likely limits demand from certain groups of users, who would be more interested at a longer or shorter vesting duration. Therefore, an auction where users can select the vesting duration that suits them and maps this to a discount curve can capture more demand than an auction for a static vesting duration.

Design: Allowing buyers to select a vesting duration along a curve turns price into a 2 variable equation through time. A modified version of the Gradual Dutch Auction mechanism is appropriate to implement a smooth surface for price across the time and vesting variables. Additionally, the vesting type is flexible and could be done with Cliff Vesting, Linear Vesting, Staked Cliff Vesting, or Rage Vesting. Since the vesting duration is an input and output from the auction, a Condensor will be needed to combine that into the format expected by the potential vesting types.