People can select domain names that are convenient to remember for their wallet addresses because of the Ethereum Name Service (ENS). The secret behind this technology is utilizing a computer to know about this domain.
When it is to the Web 3 communication, ENS holds the ability to make all the changes. In this article, we will travel through some evident reasons for this.
What Is Ethereum Name Service (ENS)?
To know what a prominent Ethereum address is, people can utilize the ENS. The name of a person has a link to s specific name. Here we are talking about the name service that is based on ETH but is not limited to it. Employing human-readable names instead of long wallet addresses is a secure, decentralized mechanism. Anyone may purchase and administer domains utilizing this decentralized service.
It is evident to use ENS in place of cryptographic keys to delivering ERC-20 tokens to a domain like “mydomain.eth”.
There are various parallels between this technology and the DNS system of the internet. Users also have the ability to unite their online presence and walk into the world of Web3 employing this tool.
Unlike the Domain Name System (DNS) of the internet, the ENS acts as a Web3 service. It depends on the smart contracts of Ethereum and is safer, more private, and is immune to censorship.
Its team thinks that internet naming mechanisms should be decentralized and open. Since the Ethereum ecosystem already prevails, the ENS may benefit from it and interact with billions of prevailing smart contracts.
Advantages Of Ethereum Name Service
If others are required to transfer coins to you, they must be aware of your ENS domain name. Utilizing ENS, you may establish a kind of “nickname” for your wallet address.
A URL such as “yourname.eth” will be the only need to share this data with your friends. If you find this information challenging to share a lengthy string of characters portraying your wallet, ENS will appeal to you.
Another benefit of using Ethereum Name Service over a Domain Name System is the scarcity of security concerns. A central server maintains track of all domain and name records along with DNS. Accordingly, criminals may hack the centralized storage and get valuable data.
Instead, the founding team of the Ethereum ecosystem asserts that no one can remove or hack ENS data.
The communication between users is also easier and more transparent to understand when using an ENS domain. In this way, the users of the Ethereum blockchain have the unique choice to formulate a wallet and differentiate it from the remaining addresses.
A Comparison Between Ethereum Name Service and Domain Name System
The Domain Name System and the Ethereum Name Service are protocols capable of managing human interactions with Web3 and Web2. The IP (Internet Protocol) addresses need the DNS technology to translate into readable URLs.
The ENS technology aims to make an Ethereum address available to the general public. If you believe it, this system operates more or less like the latest phone book. The user may locate the wallet address of a person by looking for their ENS name.
In technical words, Web2 and DNS may operate together without any problems. As of today, Web3, the term for the latest, decentralized internet, still has several obstacles to overcome.
The basic aim of ENS is to make Web3 more understandable and also to assist sharing of crypto addresses. The number of blockchain protocols that support and incorporate Ethereum Name Service as part of their Web3 integration will evolve over time.
How Can You Receive An Ethereum Name Service Domain?
Getting an Ethereum Name Service domain is pretty straightforward as you will be only required to follow a few steps.
- Form a crypto wallet via a famous system like MetaMask.
- Buy Ethereum since the Ethereum Name Service buy or sell application only accepts this coin.
- Go to the ENS application, look for the available domains and purchase yours.
It does not get more complex than that. An initiative to create Web3 more user-friendly had to depend on a minimalistic available system like the one we stated.
Who Is Behind Ethereum Name Service?
Nick Johnson and Alex Van de Sande from the Ethereum Foundation were driving the forces behind the early development of the ENS. Users of this service got ENS tokens in November 2021. This venture depends on a DAO as a decentralized governing entity.
ENS token holders can use their assets the same way that the shareholders of the corporations would. With respect to pricing, treasury management, and protocol evolution token holders are in charge.
Along with that, the introduction of ENS tokens enabled the project to move its financing approach away from grants. Along with to being exchangeable for fiat currency, these tokens are tradeable using other digital currencies like Ethereum and Bitcoin.
Usability is a prominent barrier to the widespread acceptance of Web3 from a conventional approach. Cryptographic addresses, for instance, may be extended and sophisticated, making them hard for a novice user to understand. Ethereum Name Service, which is a Web3 version of DNS, aims to address this problem. Without being highly technical, our guide offered basic details about this technology and its ability for revolutionizing the Web3 technology. So before we conclude you may wonder, are ETH domains worth it? In our opinion, it is surely worthy as it is completely decentralized.