Handshake

What is Handshake?

Handshake is a decentralized, permissionless naming protocol designed to challenge existing Certificate Authorities and naming systems. It operates as a peer-to-peer system where every participant validates and manages the root DNS naming zone. The project aims to address vulnerabilities in centralized naming systems, such as susceptibility to hacking, censorship, and corruption. By experimenting with new ways to enhance internet security, resilience, and social utility, Handshake seeks to create a more decentralized and trustworthy internet environment.

Handshake serves as an experiment exploring tools to build a more decentralized internet. In response to the increasing centralization of internet services since the 1990s, Handshake seeks to fulfill the original decentralized vision of the internet. The project recognizes the challenges of spam and aims to make decentralized systems more resilient against sybil attacks, thus reducing the reliance on trusted centralized entities.

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Recent Video Interview

Main points of the interview:

• Handshake's unique approach to domain names with NFTs.
• Handshake is backed by top blockchain developers, including Andrew Lee and JJ.
• The protocol aims to decentralize domain name ownership, challenging traditional DNS systems.
• Handshake's potential for significant growth with support from major VC investors.

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Web of Network Nodes and Handshake Protocol

• Base Layer for Decentralized Internet: Handshake focuses on the lower layers of the internet stack to decentralize the internet effectively.
• Minimal Global Consensus: Decentralization is optimized with minimal areas requiring complete global agreement, with names and signing certificates being potential areas for achieving such consensus.
• True Decentralization: No official singular foundation, committee, corporation, or entities have permanent unitary control over the protocol.
• Economic Incentives: A transparent name auction process with economic incentives enables decentralized agreements and sybil resistance.

Handshake Features

• Alternative to Certificate Authorities: Utilizes a decentralized trust anchor for proving domain ownership.
• Distributed and Permissionless Zone File: Any participant can add an entry or serve as a host and validator.
• Light Clients via Merkelized Proofs: Enables lightweight name resolutions and certificates.
• Sybil Resilience Platform: Economic limits on name use provide resilience against resource exhaustion.

Internet Name Transfers Using Coins

• Decentralized Name Registration: Handshake employs a coin system (HNS) for name registration, transfers, and updates.
• FOSS Community Allocation: Majority of initial coins allocated towards the Free and Open Source Software (FOSS) community.

How Handshake Works

Handshake uses a UTXO-based blockchain protocol to manage the registration, renewal, and transfer of DNS top-level domains. It replaces the root zone file and root servers, aiming to reach global agreement on names and their owners through decentralized consensus.

Environmental Impact and Proof-of-Work

Handshake uses proof-of-work mining for compact light client proofs. While it consumes computational power, the majority is produced using renewables, primarily wind and hydro. This choice aligns with the goal of contributing to off-grid solar power in the future.

Handshake vs. DNS

Handshake does not replace DNS but the root zone file, allowing for a seamless transition from a centralized to a decentralized root zone file controlled by actual internet users.

Handshake Use Cases

SSH Fingerprint Verification: Users can verify SSH fingerprints in a decentralized way using HNS resolvers. TLS Certificate Verification: DNS stores a hash for verifying TLS certificates, enabling a P2P way to trust self-signed certificates.

Handshake Team Background

Joseph Poon and Andrew Lee co-founded Handshake, with Lee leaving his position at Merrill Lynch in 2014 to establish Purse, a major Bitcoin marketplace. As Purse expanded, Lee explored innovative market approaches and infrastructure investments. The duo, who had been discussing Handshake's foundational concepts for years, officially co-founded the company.

Joseph Poon, a former employee of a Big Four accounting firm, played a key role in Handshake's development. Notably, he co-authored the Plasma Papers with Vitalik Buterin, the co-founder of Ethereum, and is recognized for co-creating the Lightning Network and Plasma. Poon's diverse background, spanning traditional accounting to groundbreaking contributions in the crypto space, underscores his significant role in Handshake's founding and development.

Project Development

"The Happening" is an upcoming soft fork coinciding with Handshake's fourth anniversary, marking the end of a four-year reservation period for Alexa Top 100K domains. With -2911 blocks left, over 78,000 reserved names will become available for public auction. The initial reservation aimed to prevent domain monopolization. Now, as Handshake matures, releasing these domains offers broader access to digital assets. Participation in auctions requires Handshake's native cryptocurrency, HNS, and can be done through platforms like Namebase or directly via Bob Wallet. This unique opportunity allows users to acquire coveted digital real estate during this one-time event.

Handshake Price Analysis

As of November 24 2024 Handshake has a marketcap of $7.7M. This is {{percentagefromath}} from its all time high of $0.851892. In terms of its tokenomics, there's a total supply of 2B with 31% currently outstanding. Keep in mind Handshake has a fully diluted value of $25M which many investors might interpret as overvalued.

Of course, don’t trust price predictions alone, always check the Coinrotator token screener to follow the trending market.