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What's the difference between catching expiring domain and registering just dropped?

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Fking

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In case A you win the domain on auction like godadday's for example. It becomes yours before it's totally dropped.
in case B you register just expired domain at any registrar for $10


Is there any difference SEO wise? Especially regarding to PageRank. Does it lose all it's benefits like age, history and PR once it's dropped, even if it's for few hours?
 
In case 'B' it loses it's age, nothing else.

In case 'A' it doesn't drop - it's transfered to you at the moment it would've dropped. It's easier to sell a domain with continual registration history as opposed to one that everyone knows you just paid $8 for.
 
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