What is the term for a sealed bid auction?

A sealed bid auction is characterized by bidders submitting their bids without knowledge of what others are offering, which is precisely what happens in a silent auction. In a silent auction, participants write down their bids on sheets of paper, and all bids remain confidential until the auction's conclusion. This format encourages bidders to commit to their offers based only on their own valuation of the items without competing in real-time against other bidders.

In contrast, a live auction involves an auctioneer conducting bidding in real-time, often where participants openly compete with one another by calling out bids. Live bidding also refers to the dynamic process of actively participating in the auction, typically in a public setting. A public auction denotes any auction open to the public; it can be either a live or sealed bid format. Understanding the key aspects of a silent auction as a sealed bid auction helps clarify its distinct nature within the broader auction terminology.