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Ethereum Name Service

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1 ENS = 16.79 USD
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What is Ethereum Name Service?

In the nascent stages of the internet, users had to grapple with cumbersome IP addresses to navigate the web. The introduction of the Domain Name System (DNS) transformed this experience, replacing numerical addresses with easy-to-remember names. Today, the cryptocurrency realm is witnessing a similar transformation with the advent of the Ethereum Name Service (ENS).

Ethereum Name Service, a decentralized naming system built on the Ethereum blockchain, aims to simplify user interaction with blockchain technologies. It translates complex identifiers like wallet addresses and transaction hashes into human-readable names, facilitating easier and more secure transactions. This open-source project operates as a public utility, striving to become an indispensable infrastructure in the Web3 space, akin to the role DNS plays in the internet.

Founded by Nick Johnson, a former Google software engineer, Ethereum Name Service embarked on its journey as a part of the Ethereum Foundation before becoming an independent entity in 2018. Governed by a multi-signature root with notable members from the Ethereum Foundation, Chainlink, and other organizations, Ethereum Name Service operates with a vision of making the decentralized web more accessible and user-friendly.

Resources

Official Documents: https://docs.ens.domains/

Official website: https://ens.domains/

How Does Ethereum Name Service Work?

At its core, the Ethereum Name Service operates through two pivotal smart contracts: the ENS registry and the resolver. The registry maintains a record of all registered domains and subdomains, storing essential details like domain ownership and resolver information. On the other hand, the resolver translates machine-readable addresses to domain names and vice versa, linking each domain to its respective user, website, or address.

ENS employs a hierarchical structure akin to DNS, allowing domain owners to have full control over their subdomains. This decentralized system not only enhances security but also fosters easier interaction with addresses, reducing the likelihood of errors that could potentially lead to fund losses. Moreover, ENS integrates seamlessly with decentralized applications (DApps) and other Web3 functionalities, offering a user-friendly gateway to the expansive world of decentralized finance (DeFi).

What is ENS Token?

The ENS token, introduced in November 2021, serves as a governance token, empowering the Ethereum Name Service community with a greater degree of autonomy. Token holders can actively participate in decision-making processes concerning pricing, protocol modifications, and treasury management. This ERC-20 token facilitates community engagement in the Ethereum Name Service DAO (Decentralized Autonomous Organization), fostering a collaborative approach to enhancing the ENS ecosystem.

With a total supply of 100 million tokens, the ENS token distribution encompasses allocations for the DAO community treasury, airdrops to .ETH holders, and various contributors. This token not only signifies a shift in the project's funding model but also paves the way for a more decentralized and community-driven approach to managing and improving the Ethereum Name Service infrastructure.

Ethereum Name Service’s Impact on Finance

In the contemporary financial landscape, the Ethereum Name Service stands as a harbinger of change, bridging the gap between the complexities of blockchain technology and mainstream adoption. By offering a simplified and secure platform for transactions, ENS is poised to revolutionize the way individuals and entities interact with cryptocurrencies and other digital assets.

Furthermore, ENS's collaboration with various wallets like Coinbase Wallet and Trust Wallet amplifies its reach and utility, fostering a more inclusive and accessible financial ecosystem. As the demand for Web3 products escalates, ENS's unique value proposition of providing a decentralized platform for registering censorship-resistant domains positions it as a potential game-changer in the burgeoning world of decentralized finance.

What Determines Ethereum Name Service’s Price?

In the dynamic world of cryptocurrency, the ENS price has been a focal point of discussion among enthusiasts and investors alike. The Ethereum Name Service price is influenced by a myriad of factors, including its unique value proposition in the burgeoning Web3 space. As the demand for decentralized platforms and censorship-resistant domains escalates, the ENS token price is poised to mirror this upward trajectory. The ENS crypto price is closely tied to broader trends in the Ethereum ecosystem, which has been witnessing continuous improvements and upgrades, further bolstering the prospects of a favorable ENS price prediction.

The current ENS price stands as a testament to its solid use case in a market where the demand for websites and Web3 products is skyrocketing. Investors and enthusiasts keen on tracking the ENS price live can refer to platforms like ENS coinmarketcap or similar websites where cryptocurrency prices are meticulously tracked. These platforms offer a detailed ENS price history and ENS price chart, providing a comprehensive view of its performance over time.

Looking ahead, experts in the field have a relatively bullish outlook on the ENS coin price. According to various analyses, the token could potentially reach heights of $30 by 2025, and even soar to around $200 by 2030. However, it is imperative for potential investors to conduct thorough research and analysis before venturing into the market, as cryptocurrency investments come with their share of volatility and risks. As the Ethereum ecosystem continues to expand and evolve, the Ethereum Name Service seems poised to carve out a significant niche in the market, potentially making it a lucrative investment opportunity in the long run.

Conclusion

In the rapidly evolving landscape of the digital economy, the Ethereum Name Service (ENS) stands as a pivotal innovation, spearheading the simplification of blockchain interactions by translating complex identifiers into user-friendly, human-readable names. This decentralized naming system, founded by former Google engineer Nick Johnson, has blossomed into an integral part of the Web3 space, fostering secure and effortless transactions in the decentralized finance (DeFi) sector. As the Ethereum ecosystem expands, ENS, with its community-driven governance facilitated through the ENS token and DAO, is poised to redefine user interactions with cryptocurrencies and digital assets, potentially emerging as a lucrative investment avenue in the long term. To stay abreast of the dynamic ENS developments and pricing, enthusiasts and prospective investors can refer to platforms like ENS coinmarketcap for detailed insights.

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24h$16.43$17.03
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90d$15.14$21.43
1y$7.87$34.59
coin_market.all_time$6.67(--, coin_market.today )$83.75(--, coin_market.today )

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Is Ethereum Name Service (ENS) a good investment?

Ethereum Name Service (ENS) is a prominent asset to consider, especially with the growing prominence of Web3. ENS, which simplifies Web3 usernames and profiles, is likely to gain traction as Web3 adoption soars. A surge in Ethereum Name Service adoption by the global crypto and Web3 community could bolster the ENS token price. Moreover, as more decentralized projects and websites embrace the ENS blockchain naming convention, its value proposition could strengthen. The ENS token price might also benefit from a positive shift in overall crypto market sentiment. When investors are optimistic, their increased buying activity can uplift various digital assets, including ENS. Given the crucial role ENS plays in translating complex crypto addresses into user-friendly names, its innovation is poised to redefine the decentralized space. This unique offering stands as a testament to its potential for wider acceptance, elevating the worth of the Ethereum Name Service crypto in the process.

What factors influence ENS price?

The price of Ethereum Name Service (ENS) token is influenced by several factors based on the previous input: Web3 Adoption: As the adoption of Web3 technologies grows, the demand for services like ENS, which offers user-friendly Web3 usernames and profiles, is likely to increase. ENS Platform Adoption: The uptake of Ethereum Name Service by both crypto enthusiasts and Web3 users can directly impact the ENS token's value. The more users and projects that utilize ENS for its blockchain naming standard, the greater its potential value. Release of Decentralized Projects: As more Web3 projects and decentralized websites begin using ENS's blockchain naming standard, the ENS token's value could experience a boost. Market Sentiment: The overall sentiment in the cryptocurrency market plays a significant role. When investors are optimistic about the future of cryptocurrencies, there is typically increased buying interest, which can lead to a rise in the prices of various tokens, including ENS. Innovation in Web3 and Decentralization: The uniqueness of ENS in converting complex cryptocurrency addresses into easily readable names can be a significant factor. As innovations in the Web3 and decentralized space continue, the value of services that streamline user experiences, like ENS, could escalate. Value Proposition: The inherent utility and functionality that ENS brings to the table make it a valuable asset in the decentralized world. This unique value proposition can play a role in influencing its price.

How many ENS tokens are there?

The Ethereum Name Service (ENS) token boasts a capped total supply of 100 million. As of August 2022, roughly 20 million ENS tokens are in circulation. Here's a breakdown of the ENS token distribution: Half of ENS's ultimate supply, or 50%, was designated for the DAO Community Treasury. At launch, 10% of this was made available, and the rest has been vesting over a four-year period. A quarter, or 25%, of the ENS supply was granted to .ETH domain holders through airdrops. The final 25% has been reserved for those who contributed to the Ethereum Name Service initiative, subject to a linear four-year vesting schedule.

What are the costs associated with obtaining an ENS domain?

To register a .ETH domain with the Ethereum Name Service, there's an annual fee of $5. Beyond acquiring ENS directly on their platform, you can also secure an ENS domain on OpenSea, a premier NFT marketplace. Explore the ENS assortment on OpenSea to discover available .ETH domain names and their respective prices. Link your crypto wallet to OpenSea to either purchase available domains or bid on your desired ones.

ENS vs. DNS: What is the difference?

While ENS and DNS perform similar functions, there are several differences between the two services. Let’s take a look at some of them: Web2 vs. Web3 Domain Name System (DNS) is a protocol that caters to Web2 initiatives, such as websites and email addresses. It maps IP addresses to names that are convenient to recall and use. On the other hand, Ethereum Name Service maps crypto addresses based on Ethereum to a readable string similar to a URL. The ENS service can be used to create usernames for Web3 applications, crypto wallets, and decentralized websites serving Web 3.0 projects. Centralized vs. Decentralized DNS services are primarily centralized, with DNS providers using centralized servers to offer their services to internet users. Meanwhile, ENS functions in a completely decentralized manner, based on the Ethereum blockchain. The verification process utilized in ENS is distributed, eliminating the single point of failure that centralized systems suffer from.

How to get an ENS domain

To register a .ETH domain with the Ethereum Name Service, there's an annual fee of $5. Beyond acquiring ENS directly on their platform, you can also secure an ENS domain on OpenSea, a premier NFT marketplace. Explore the ENS assortment on OpenSea to discover available .ETH domain names and their respective prices. Link your crypto wallet to OpenSea to either purchase available domains or bid on your desired ones.

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insight108/750
181.86%
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price_sidebar.total_pnl $938,815.34
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