Ethereum Name Service (ENS) is looking to transform the Web3 user experience by creating an easy-to-remember domain name for the Ethereum blockchain
Can you imagine asking a friend for his bank account to make a transfer and receive something like this: 0xb01be1692ea59EAB6EE120317a924f11cc51C7FB?
It definitely could be more pretty and easier to remember.
Well, in blockchain networks, that's more or less how a wallet address works.
And if we want to make crypto transactions more popular, they also need to be more user-friendly. That's what Ethereum Name Service, or ENS, for short, is looking to solve.
What's Ethereum Name Service
With websites and Web2, a .com domain name connects a site with an IP address. An IP address is a numeric combination that points to a website.
However, entering an IP was difficult for users because, just like with wallet addresses, they were difficult to remember. So DNS (Domain Name Services) launched, and the .com domains became a reality.
The Ethereum Name Services domains are looking to transform the Web3 user experience by creating an easy-to-remember domain name for the Ethereum blockchain.
They basically change the complex code string for a quick and easy .eth domain.
Deep diving into ENS
The Ethereum Foundation creates ENS with the help of a developers team led by Nick Johnson.
Other supporters of ENS include Chainlink and Binance. The ENS project works in the creation of .eth domains as well as .test domains.
And just like with domain names from Web2, users can buy and create an ENS domain and own it. With it, they can also create subdomains and configure and associate them with their wallets, Dapps, and smart contracts.
All ENS domains are registered as hashes called namehash. An algorithm processes the ENS name and returns a cryptographic hash that identifies that unique name and address.
ENS works through two different types of smart contracts: Register and Resolver.
The Resolver is responsible for translating the alphanumeric codes into human language and redirecting the domains to the correspondent address.
On the other hand, the Register is responsible for registering the domains and domain owners on the blockchain.
The ENS token
Ethereum Name Service has its token, ENS, focused exclusively on the project's governance. Its primary function is to make decisions for the prices of its domains. Token owners can delegate them to the DAO to vote on project changes.
Owning the token does not give users any advantage over their domains. It has a maximum supply of 100 million tokens:
- DAO Community Treasury (50%): 10% at launch, linear grant over four years
- Airdrop to .ETH holders (25%)
- Taxpayers (25%), with linear consolidation of four years that includes:
- Major contributors: 18.96%
- Select Integrations: 2.5%
- Future Collaborators: 1.25%
- External Contributors: 1.29%
- Launch advisors: 0.58%
- Key holders: 0.25%
- Active Discord Users: 0.125%
- Translators: 0.05%
User experience on both blockchain and crypto is still developing and improving, something that's much needed if we want to have the broad exposure we want. ENS is looking to solve part of that problem.
Another interesting point? Just like usernames in social media, domain names are not only a shorter way to share your wallet address, but they also become an integral part of your digital identity. .eth domains are becoming increasingly popular among crypto enthusiasts with the same ENS as their Twitter or Discord handles.
And with NFTs and the metaverse pushing for a more digital presence and avatars becoming the new personas used to navigate the digital world, a more accessible name will become a new norm.
But even if you don't believe in the digitalization of our online footprint, an easy way to access Web3, an undertaking that will definitely substitute Web2, having domain names that are easy to remember but still decentralized, is vital.