Ethereum Name Service (ENS) names of domain have clocked in a lot more than 2.3 million registrations. It really is now among the top 3 collections on OpenSea by 30-day volume. Speculation and adoption among prominent folks are possible causes of the hype for ENS domains.
ENS domains stay in favor regardless of the crypto bear market
This just in. The full total amount of Ethereum Name Service (ENS) registrations has surpassed 2.3 million, rendering it one of the top 3 collections on OpenSea by 30-day volume.
Based on Dune analytics data by @makoto, ENS now boasts 2.367 million domain names, with 553,842 unique participating addresses in total.
These unique NFT domains started to gain traction in April when traders stepped in to capitalize within the hype. Many also believe that inherent utility and adoption among individuals like Snoop Dogg and Vitalik Buterin helped within the skyrocketing growth of ENS domains.
Given that, let’s take a look at what Ethereum Name Service is and what makes it a popular choice among NFT enthusiasts despite the bear market.
Monthly registrations of ENS domain names. Credit: @makoto.
What is the Ethereum Name Service?
To begin with, the Ethereum Name Service is a “distributed, open, and extensible naming system based on the Ethereum blockchain”. It allows users to create human-readable names for his or her wallet addresses and decentralized websites.
For instance, instead of the full 42 hexadecimal characters like 0x10F57Cf837f685A29BC121669ba010fc0824EbaC, you can use something like “000.eth” or “Alice.eth” to replace it.
Make no mistake, there are many things that you are able to do together with your ENS domain. If it’s associated with your wallet address, it’ll become a payment gateway. If it’s associated with websites, smart contracts, or transactions, it’ll serve being an easy-to-remember URL for several.
Ways to get an ENS domain?
Getting an ENS domain is pretty easy. All you have to is a crypto wallet and some ETH. Then, head over to the ENS app to check for your domain name’s availability. If available, you will be prompted to pay the registration fee for a certain period (1 year at least) with all the gas fee in ETH.
Take note that three-letter and four-letter .eth names are more costly than those with five-plus characters. The reason is that they are much rarer and more unique, thus commanding higher prices on view markets.
As of writing, three-letter .eth names are around $640 in ETH per year, four-letter .eth names are about $160 in ETH per year, and five-plus-character .eth names are around $5 in ETH per year. (Note: Gas fees are not taken into account yet)
Other than that, those who opt for a longer registration period (more than one year) will also enjoy a lower annual premium. But of course, this depends on your own budget.
Just like NFTs, holders may flip their ENS domains for hefty sums as well. Last October, someone paid a whopping 420 ETH or around $1.5 million for paradigm.eth! In July, the 000.eth website name was sold for 300 ETH, or around $320k at the time.
On top of that, there can only be a lot of .eth addresses available. With all the registration count going up every day, interested buyers may want to get their own ENS domains before it’s too late.
Three and four-letter ENS names: they’re a fixed-supply asset *and* you are able to do things with them!
– vitalik.eth (@VitalikButerin) August 7, 2020