Ethereum Name Service (ENS) is a service that links Ethereum addresses to domain names, working similar to an email address. It is more secure than the Domain Name Service (DNS) because it is secured by the Ethereum blockchain instead of centralized servers. ENS domains are also NFTs that can be bought and sold on NFT marketplaces. The protocol was supported by prominent Ethereum and NFT influencers, and its airdrop was one of the most popular in the history of Ethereum. ENS is instrumental in the development of a “Sign-in with Ethereum” mechanism and can be used in real-life cases, such as unlocking a car app with an ENS domain.
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What is ENS?
ENS stands for Ethereum Name Service and is a service that links your Ethereum address to a domain name of your choosing.
How Does ENS Work?
Similar to an email address, you can pick the name you want as an address, making it easier to remember than long alphanumeric addresses. On the official ENS website, you can type in the address to see if it’s available, and it’s relatively cheap at only $5 to secure your domain for a year.
How is ENS Different?
ENS is much more secure than DNS because it’s secured by the Ethereum blockchain instead of by centralized servers. ENS domains are also NFTs, allowing them to be bought and sold on NFT marketplaces, making it easier for domain squatting businesses.
History of ENS
Numerous competitors in this space, including Unstoppable Domains, existed for years. However, ENS ended up getting more of a network effect because it was supported by prominent Ethereum and NFT influencers. The launch of its airdrop instantly made it one of the most recognized protocols in the crypto industry. Some people have made a ton of money getting in early to some of those domains that were highly sought.
Use Cases of ENS
In addition to the domain squatting business, ENS has been instrumental in the development of a Sign-in with Ethereum mechanism. It’s a feature that allows users to sign in to all their Web2 accounts with their Ethereum address, similar to how people have the option to do with Facebook or Google. Japanese developer Hideyoshi Moriya posted two different videos to his Twitter profile where he unlocked his car from his app by using his ENS domain.
Conclusion
ENS has the potential to change the internet forever, and anyone can sign up easily on their official website. While it’s an interesting investment opportunity, remember that it’s a long-term endeavor and may take a while to see profits. So, do you prefer ENS or Unstoppable Domains? Let us know in the comments below.
