Produced | Vernacular Blockchain (ID: hellobtc)
Produced | Vernacular Blockchain (ID: hellobtc)

On October 9, an unknown wallet purchased the Ethereum domain name paradise.eth for 420 ETH, which is the largest ENS domain name transaction so far.

What is the purpose of spending such a large sum of money to buy a domain name?How does registration work, and what kind of business opportunities lie behind it?What is ENS?

01 
What is ENS?

A while ago, some users discovered through on-chain data combined with ENS that a series of Ethereum addresses related to an analyst of Divergence Ventures interacted with Ribbon products one after another before the Ribbon airdrop was announced (May 25).In the end, more than 30 addresses were airdropped, It was suspected that there might be "insider trading", and there was a lot of trouble for a while.

Including the earlier OpeaSea "rat warehouse incident", in fact, it was also discovered because the corresponding executive used his own public ENS address.

which plays a key role in“ENS”, full name Ethereum Name Service, is a distributed domain name service based on Ethereum, which provides a secure and decentralized way to resolve simple human-readable domain names into on-chain and off-chain address resources.

ENS officially landed on Ethereum on May 4, 2017. Through a unique bidding mechanism, any user can register one (or more) Ethereum addresses ending in ".eth" for their own Ethereum addresses through the bidding process. domain name.

To put it simply, ENS can map personal long and hard-to-remember "Ethereum addresses starting with 0x" to custom short addresses, such as satoshi.eth, vitalik.eth and so on.

In this way, in wallets that support ENS, users no longer need to copy and paste long addresses, and can directly use ENS domain names to bind various cryptocurrency addresses and receive cryptocurrency payments.

At the same time, ENS can also be used with its own DNS domain name. Currently, ENS supports many DNS domain names, such as ".com", ".io", ".xyz" and so on.

In addition, ENS is built on the ERC721 protocol, which is alsoThat is, each ENS domain name is actually an NFT, so after the current registration is completed, you can choose a price to list in NFT trading markets such as OpenSea, and then conduct auction transfers.

and

andENS replaces Ethereum addresses with human-friendly characters, a key step in crypto popularizationfirst level title

02 
The Development of Decentralized Domain Names

According to the previously released financial report of ENS, in 2020 it received a total of approximately US$310,000 in funding, and received US$700,000 in income through ETH, and its expenditure in 2020 was US$760,000.Mainly in terms of salaries, legal advice, hackathon prizes, bounties and hosting of websites and services.

As of now, ENS has nearly 400,000 registered domain names and integrated more than 300 applications. From wallets, applications to browsers, it has gradually established a relatively complete ecosystem.

At the recent Shanghai Wanxiang Blockchain Summit, Vitalik also said that for users, infrastructure is the key, and ENS is a very important infrastructure.

There are many Ethereum users using ENS, and it is expected that more and more people will use ENS in the future. The current problem of ENS is that all functions are implemented on the main network, which leads to very high transaction costs. This is why we Challenges faced in terms of infrastructure.

So at the same time, in addition to ENS based on Ethereum, there are other blockchain domain name systems, they haveTaking advantage of the low-cost and high-throughput underlying advantages of competing public chains, it is temporarily inferior to ENS in terms of ecological construction.

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EOS account

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DAS account

The DAS (Decentralized Account Services), which has gradually emerged this year, is a "decentralized account system based on Nervos CKB". All DAS accounts end with ".bit" and can be registered in multiple languages ​​and even Emoji around the world. DAS is unique, and DAS accounts with the same name cannot be created repeatedly.

At the same time, DAS is based on the design of Owner and Manager, which provides rich possibilities for playing differently compared to ENS:

• Owner, the ultimate owner of the DAS account, can transfer the account and set the administrator of the account;

• Manager, the administrator of the DAS account, can manage the records, sub-accounts, etc. of the account;

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TNS domain name service

TNS is the domain name service system of the Terra ecology, developed by the Terra ecological block browser Extraterrestrial Finder team, and aims to provide Terra ecological domain name services with suffixes such as ".ust".

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SOL domain name service

Solana Name Service aims to provide a decentralized and affordable way to connect domain names (.sol) and on-chain data. These on-chain data can be SOL addresses, IPFS content IDs, pictures, texts, or anything else.

A very clear advantage of domain name service is that it can be mapped with SOL address, which is easy for people to read and replaces the use of SOL address for on-chain transfer and payment.first level title

03 
ENS registration experience

Next, we take ENS as the main object, and through the actual registration, anti-analysis, use and other processes, we will work with you to learn more about the characteristics, relative advantages and possible role positioning of decentralized domain names in the WEB3 era.

For example, for the domain name of xxxxx.eth, the specific registration is divided into the following three steps:

First, we need to confirm a transaction in the wallet, which is the first of two transactions required to complete the domain name registration. If step 2 is not performed within 24 hours after step 1 is completed, you need to start from step 1. step to start over.

Secondly, after approving the first step of the transaction, wait for about 1 minute to make sure that the entire network has not also chosen to register this domain name, which is also protecting our registration request.

Finally, we need to reconfirm a transaction in the wallet. Only after the transaction is confirmed can we determine whether the domain name has been successfully registered.

If the one-time registration period is 5 years, that is, until October 18, 2026, you can choose to renew the period at that time, which is similar to the rules of traditional Internet domain names.

At the same time, the main cost in the whole process is the on-chain operation fee of contract interaction. As a 5-digit domain name, the actual registration price is not expensive ($5). .

Of course, this is only a five-digit ENS address. Most of the domain names with shorter or more meaningful digits may have been registered, just like the paradise.eth mentioned above. With the development of the industry, there is a huge potential For commercial value, you can also go and see what you like or plan to ambush when you have time. Maybe it will be a big opportunity to pick up leaks in the future.

I also saw a new news a while ago. The Ethereum Foundation, the Ethereum domain name system ENS, and the digital identity authentication company Spruce jointly launched a website login.xyz to track the progress of Sign-In with Ethereum.Sign-In with Ethereum is a set of technical specifications for logging in to third-party web applications through Ethereum accounts, enabling users to control their digital identities through Ethereum accounts and ENS profiles, rather than relying on traditional middlemen.

It is currently used in Web3 and aims to standardize on best practices to make adoption easier for Web2 services as well,At the same time, decentralized domain names such as ENS are not only used for addresses, but will also cover all aspects of DApp services in the future。

On October 8, ENS announced that it supports setting NFT avatars in personal profiles. Users can set any NFT they own as the avatar of their ENS profile, and then DApps can display the avatar next to the user's ENS name.

According to the current development momentum of NFT and the increasing popularity of Web3, ENS and others will most likely become the next wave of NFT hotspots, and even become the key carrier of users' digital identities in the Web3 era, which deserves our special attention.