Towards a truthful online spectrum auction with dynamic demand and supply

In spectrum trading, secondary users bid for the spectrum units being made available by primary users. Auction theory has been widely applied to improve spectrum allocation in such spectrum trading scenarios. However, in contrast to reality, most of the research work assume either static user populations or static spectrum supply or both. In this work, we investigate a realistic dynamic auction environment where secondary users with diverse delay bounds arrive dynamically, and spectrum becomes available at random. We propose a priority ranking based online auction mechanism that prevents bidders from gaining advantage by misreporting information. We prove that the proposed auction mechanism is truthful and individual rational. We illustrate the properties of the mechanism in terms of spectrum utilization rate, bidder satisfaction rate, and average bidder utility through extensive simulations.