docs: create auction

auction.md

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+---
+title: Auction
+description: 
+published: 1
+date: 2024-02-09T04:13:43.915Z
+tags: 
+editor: markdown
+dateCreated: 2024-02-09T04:13:43.915Z
+---
+
+# Auction
+
+To prevent price sniping, Handshake uses a blind second-price auction called a Vickrey Auction. Users can buy and register top-level domains (TLDs) with Handshake coins (HNS).
+
+In a Vickrey Auction, a participant is only aware of their own bid. The bids are revealed at the end of the auction when a winner is chosen. The winner pays the second highest bid instead of his or her own.
+
+- Names were released weekly during a pre-determined 52 week schedule (until Feb 2021)
+
+- Blind bids can be placed any time after a name is released.
+
+- Bidding is open to everyone for 5 days beforethe reveal period.
+
+- Bidders have 10 days to reveal their bid price.
+
+- A winner is assigned the name and pays the second highest bid at the end of the reveal period.
+
+- The winning bid is burned and permanently removed from circulation.
+
+- Losing bids are returned.
+
+- Names are renewed every 2 years by paying standard network fee.
+
+For more information, read the [Handshake paper](https://hsd-dev.org/files/handshake.txt).
+
+
+---
+
+![vickrey_auction.jpg](/vickrey_auction.jpg)
+Vickrey Auction's scheme and example