My thinking about investment opportunities in the Handshake domain space is changing

I have been really enjoying learning more about Handshake domains, the community has been amazing and I find myself on news.namebase.io just about daily at this point. One thing I’m really appreciating about the community is that so far it seems to be relatively troll free. I’m not sure if this is due to good moderation or just a different group but it really feels like a community where anyone can share their thoughts or opinions freely which is awesome.

On that note, I have some thoughts and opinions to share that I’m thinking people might not like too much but hey, it’s just my opinion, and I’m just one guy who knows very little about Handshake so take it for what it’s worth!

As you might remember, back in March I wrote an article about how I plan to spend my first $20,000 in Handshake domains. Well, after doing a deeper dive, my thinking has changed, and I’ll tell you how, and why. Oh and if you’re too lazy to read the post, no worries, the spoiler is, I planned on putting $10k into Handshake domains and $10k into HNS tokens.

Since then I’ve had the chance to get a better feel for what handshake names are available, for sale at auction, and listed by private sellers. I’ve had plenty of people send me lists and even organize list of names by category for me. The challenge is, 99% of what I’ve seen doesn’t make sense to me as a domain extension, maybe as a domain name itself, but not as a domain extension, and that’s what Handshake domains are intended to be.

The reality is, people who got involved in the Handshake domain world much earlier than me, and probably you, scooped up the good stuff. All the good stuff? Of course not, there’s still some good names floating around but most of what’s listed for sale is listed at ridiculous prices. To me, it feels more like buying lottery tickets at this point, with a super long time horizon on seeing any meaningful return.

But…I’m still very bullish about Handshake domains, I just have a new investment thesis. First, I think there are a few companies that are really making moves in the Handshake space, two weeks ago I made an investment in one of them. I’ll have to ask the CEO if I can share publicly and if I can I will if not, well I guess I won’t. Investing in companies that are doing interesting things in the Handshake space feels like a good investment to me, if you believe in what Handshake will become.

The second thing I’ve become a lot more bullish on is the HNS token itself. Heck, over the last month it has doubled in value. If you put $10,000 into Handshake domains a month ago, my guess is, you’ll be waiting a long time to double your money on those names, if you bought the token you could sell today and take the $20k.

Handshake token price

So while I’m still a big believer in Handshake I think I’ll be focusing my investment dollars on companies in the space and the token itself. I think that’s probably where the most opportunity will be.

Do I think people will make money selling Handshake domains? Absolutely! There are people with pretty stellar portfolios that will make great money, and I also think people will get lucky, and like lottery tickets, even people who buy late in the game can make some good flips. That being said, I think if Handshake domains really take off, the token will too and having that combo of growth and liquidity will beat trying to sell off individual names IMO.

Well that’s my two cents, what do you think?

{ 4 comments… add one }

  • KT April 3, 2021, 1:13 am

    I don’t know much about handshake, but after your first post I went to namebase and searched some keywords, I personally think, and I agree with your current view, that right now there are no good opportunities in the names themselves, it’s too late for that. The best thing you can do is hold the token for a bit more as I don’t think we’re at the end of the bull market yet. In a year or two, when things cool down and the market rebalances you might be able to find good handshake names at reasonable prices.

    Reply
  • Emeka April 3, 2021, 9:15 am

    My opinion on handshake is no no .I don’t care if one or 2 sells and they make noise about it.Its all about the money grab .Don’t fall for it .They buy and give names to this and that to make noise about it.

    Reply
  • Don April 3, 2021, 9:44 am

    Morgan I like your move on 50/50 split. with 20k.

    I think you have to weed out 99.9% of these most will just be used for individual purposes and not resell but if I invest in one sub-domain one right now it is the .c extension. If these happen to resolve on a duck duck go, brave, start page well it wont hurt .com but .c will move into a top 5 extension in 3 years and beat .co, io, .tv. IMO. It is shorter and would be dencentralized and one letter. Chance I,m willing to take. So many names moving for $$ right now and it is putting pressure on the coin itself this is why it is going up.

    Reply
  • Mark Smith April 5, 2021, 10:01 pm

    I think your assessment of the community is spot on, as is your investment thesis, for you.

    The biggest opportunities I see right now on the domain side are not what most domain investors would be looking for or even agree with, and it’s never a good idea to invest in something under those circumstances.

    That said, you understand the community, the tokenomics, and which companies you can trust. You have a good idea where we’re going, why, and how. Best yet, you figured it out FAST! That’s a *great* thesis. Names will always be floating around & changing hands. Due to its deflationary nature, the longer you hold $HNS, the greater your buying power becomes, and most likely, the higher the quality of names you can buy will be.

    Who knows, after awhile, maybe you can just stake liquidity in a contract & yield farm.

    Cheers!

    Reply

Leave a Comment