On the Elder Scrolls Online website, Zenimax explained how they intend to implement auctions. Rather than host them on Megaserver, they will have separate Guild Stores that handle smaller auctions.
Zenimax explains why they deliberately made the call not to place auctions on Megaserver. They expect prices to go up on items, giving players less incentive to go to the dungeons, as well as to craft or trade items. Unique items will also be devalued, as many such items will come up in such an auction house. It seems like Zenimax is alluding to all the things wrong with the Real Money Auction House straight out of Diablo III.
Instead, Elder Scrolls Online will have Guild Stores, smaller markets where you can have your items listed. You will be able to sell your items to other members of your guild. Since players can join multiple guilds, it won’t be a problem if there are few members in one of the guilds you are in.
Zenimax thinks their system will encourage some players to become merchants, since you can bring items from one auction to another. In time, you can earn experience trading across different markets and learn how they price across different guilds. They also see no problems with auctions affecting relationships within guilds.
Zenimax concedes they have some worries with the system. Even if any player is free to join several guilds, for example, they are afraid some players won’t think of doing so and stay stuck in smaller guilds. Bigger than that are concerns on how players will use the Guild Stores. Developers have their faith that the system will work out, based on their own experience. Any alternative online auction system that can work better than RMAH would be a godsend to MMOs, but we’ll just have to wait for when they launch it to know for sure.
Source: Elder Scrolls Online website
