ENS or Ethereum Name Service is the naming protocol of the decentralized internet that aims to establish portable Web 3.0 user names. All decentralized apps (Dapps) and blockchains can use ENS. The blockchain and cryptocurrency sectors are very technical. Thus, it needs to be clarified for first-time users and people who are not techno-savvy. For any crypto transaction, participants need a long public wallet address.
This public wallet is composed of a long string of letters and digits. Another critical point is participants have different public addresses for every cryptocurrency. It is a tedious and confusing task for crypto beginners to manage these public wallet addresses. Ethereum name service or ENS is a unique concept that aims to create a universal nickname for decentralized websites and public addresses. ENS service would make decentralized finance and the crypto sector simpler for users.
After adopting the ENS, the users can use a single ENS domain like “John. eth” instead of a long string of unreadable credentials. ENS domains can apply to any NFTs and cryptos.
Let us discuss ENS more and how it works.
What is Ethereum Name Service?
ENS is a naming protocol built in the Ethereum blockchain. It enables the translation of machine-readable addresses to human-readable nicknames. For instance, if person ‘A’ wants to pay person ‘B’ using cryptocurrencies, then person B is required to give his Ethereum public address. It is 42 hexadecimal characters long. This public address might look like
“0xBA25EF3F8B8A186998338A2ADA83755GA2D698E”
With the help of the ENS system, person B can create a nickname with an underlying link for it. Now, person B can share ENS for the execution of the transactions.Along with Ethereum addresses, ENS creates human-readable domains for websites, crypto wallets, metadata, and content hashes. Under a single nickname, it connects all your addresses and websites for receiving all kinds of NFTs and cryptocurrencies. ENS is a decentralized and blockchain-secured domain naming service. That means there is only one controlling, regulating authority enhancing its security.
How does ENS work?
The Ethereum Name Service is made up of two main components. These are the registry and the resolvers, respectively.
Registry
The registry comprises a smart contract that keeps track of all domains and subdomains while maintaining three critical bits of information about each.
. The domain’s owner
. The domain’s resolver
. The caching time-to-live for all the records that are under the domain
The ENS registry’s purpose is straightforward: it maps a name to the resolver responsible for it. Meanwhile, domain owners in the ENS registry are permitted to:
. Subdomain ownership should be changed.
. Transfer domain ownership to another address.
. Set domain resolver and TTL.
. Set the domain’s resolver and time-to-live (TTL).
Resolvers
On the other hand, Resolvers are in charge of converting the names into addresses. Every contract that meets the requirements can operate as a resolver in the Ethereum Name Service. However, resolving a name in ENS is a two-step procedure.
The first is to inquire with the registration as to which resolver is in charge of the given name. The second is to ask that specific resolver for the query’s answer.
Registry
The registry comprises a smart contract that keeps track of all domains and subdomains while maintaining three critical bits of information about each. These are the pieces:
. The domain’s owner
. The domain’s resolver
. The caching time-to-live for all records inside the domain
The ENS registry’s purpose is straightforward: it maps a name to the resolver which is responsible for it. Meanwhile, domain owners in the ENS registry are permitted to:
. Subdomain ownership should be changed.
. Transfer domain ownership to another address.
. Set the domain’s resolver and time-to-live (TTL).
Resolvers
On the other hand, Resolvers are in charge of converting the names into addresses. Every contract that meets the requirements can operate as a resolver in the Ethereum Name Service. However, resolving a name in ENS is a two-step procedure.
The first is to inquire with the registration as to which resolver is in charge of the given name. The second is to ask that specific resolver for the query’s answer.
ENS app helps those who want to generate their web3 username. Once the desired username is available, users need to follow simple registration steps. After completing the registration process, the domain user can link their websites, crypto wallets, etc.
They can also create multiple sub-domains, like website.john.eth or email.john.eth, for connecting to the same ENS domain.
Governance of the Ethereum Name Service
The Ethereum Name Service is administered by several different arms, each with its significance.
Token ENS + Distribution
The ENS token is a standard token on the Ethereum network that follows the ERC-20 standard. Its primary function is to be used for system governance.
Token holders can make suggestions and vote on them. The forum talk.ens.domains is the primary location for community members to debate ideas and governance issues. The Ethereum Name Service is managed by a decentralized autonomous organization (ENS DAO) in the spirit of decentralization (DAO). The DAO is driven by holders of the ENS token, who can make proposals and vote on them to determine the protocol’s future evolution.
ENS Foundation
The ENS Foundation, an existing Cayman Islands Foundation, represents the ENS DAO. It serves several functions, including:
. To comply with tax rules because, in the absence of a legal organization, DAO participants may be liable for a percentage of the DAO’s profits, even if they do not have access to the funds.
. To get into agreements with other businesses.
. To give members in the DAO limited accountability for the DAO’s actions.
Why is ENS outstanding?
In the web3.0 version, Ethereum Name Service is like the Domain Name Service. The difference between ENS and DNS is that ENS is a decentralized alternative or traditional DNS for the internet. ENS eliminates the risks associated with DNS.
ENS is censorship-resistant and more secure as it is built of blockchain-based Ethereum protocol. ENS is the first service that replaces blockchain and crypto addresses with human-readable nicknames.These ENS can be used across all Dapps, wallets, and decentralized websites. This system transforms complex strings of characters into simple, short, and human-readable links, which are easier for blockchain beginners.
Final Thoughts: ENS is the rising star on the horizon of Web 3.0 and gaining popularity as it creates human-readable nicknames for public blockchain addresses. As ENS is backed by blockchain technology and distributed, it ensures greater security for domain names. Please feel free to comment on the box below if you have queries. Team Blockchain Shiksha would be happy to help.
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Very nice article and right to the point. I am not sure if this is really the best place to ask but do you folks have any ideea where to hire some professional writers? Thanks 🙂
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