The Rise of Whatnot: A Deep Dive into Live Auction Culture and Scalping

Whatnot, a live auction platform founded in 2019 by Grant LaFontaine and Logan Head, has rapidly gained traction, particularly among collectors of Pokémon trading cards and other sought-after items. The platform combines elements of eBay and traditional shopping channels, allowing users to bid on merchandise in real-time. As of October 2025, Whatnot was valued at $11.5 billion, with sellers generating a gross monetary value of $6 billion. However, the platform's gamified auction mechanics have raised concerns about impulsive buying behaviors and potential addiction.

The Guardian

Users on Whatnot engage in fast-paced bidding wars, often for items like trading cards, electronics, and sneakers. The platform features "break" sessions where participants can bid on random items, sometimes referred to as "spins." While Whatnot asserts that it does not facilitate gambling, experts like Dr. Steve Sharman from the National Addiction Centre have drawn parallels between the auction dynamics and gambling mechanics, highlighting the risks of overspending and buyer's remorse among users.

The Guardian

Whatnot's popularity has attracted scalpers, who employ tactics reminiscent of ticket touts to corner the market on in-demand items. Groups like "Crep Chief Notify" have gained notoriety for using multiple identities and bots to purchase limited stock, subsequently reselling items at inflated prices. Justine Roberts, founder of the parenting forum Mumsnet, noted the frustration among families facing exorbitant prices for popular toys, calling for retail limits on purchases to combat this practice.

The Guardian

The impact of scalping extends beyond financial strain; it has led to a decline in community engagement among collectors. Lars Ohrvik-Stott, assistant games manager at Badger Badger, a board game pub in London, reported that scalping has made the hobby less accessible, prompting some enthusiasts to abandon it altogether. He also noted instances of aggression from individuals frustrated by purchase limits, indicating a troubling trend in consumer behavior.

The Guardian

Whatnot has defended its role in the secondary market, arguing that prices often reflect consumer demand. The platform encourages users to set spending limits and provides resources for those struggling with impulse buying. eBay, another major player in the auction space, maintains that prices for non-essential goods are determined by individual sellers, emphasizing its commitment to fair pricing for essential items.

The Guardian

• “There is definitely the opportunity for harm on apps like this,” — Dr. Steve Sharman, Senior Research Fellow, National Addiction Centre

The Guardian

• “It feels exploitative – especially for families already working with very tight budgets – and it causes real anxiety for mums and dads …” — Justine Roberts, Founder, Mumsnet

The Guardian

• “Scalpers have made getting products so stressful, expensive and difficult that it has strongly informed many people’s decisions to leave the hobby entirely,” — Lars Ohrvik-Stott, Assistant Games Manager, Badger Badger

The Guardian

Whatnot's rise reflects a broader trend in live auction culture, characterized by rapid bidding and the allure of collectibles. However, the platform's association with scalping and impulsive spending raises significant ethical questions about its impact on consumers and the collectibles community. As the holiday season approaches, the debate over the implications of such platforms continues, highlighting the need for greater oversight and consumer protection.

The Guardian