ENS is the Web 3 equivalent of the Domain Name System.
It formed a DAO that sparked interest in the protocol and its new governance token.
last September, Surprise users with a very early Christmas present: at least 400 UNI, new admin token later -on the basis of a decentralized exchange.
As those 400 tokens quickly became worth thousands of dollars, the collective smashing of the top thousand could almost be heard with everyone saying in crypto, “It’s worth it. Maybe I should use Uniswap.”
Fast forward to this week and you’ll hear similar refrains from those who tried to introduce Ethereum Name Services – a decentralized way to access the internet. ENS issued its own governance token to users on Monday and hit a market cap of $ 586 million on the same day. It hit $ 1 billion yesterday – and that’s just one of several positive things about the service. Individual ENS tokens are currently being sold for just under $ 60, although the emerging asset is still in the early stages of pricing.
The Ethereum Domain Name Service, or ENS, is the Web 3 version of the Domain Name System, a method of cataloging the Internet and making it easier for users to search. In contrast to DNS, ENS offers censorship resistance through its .eth domains, which can also be used as crypto addresses for sending and receiving Ethereum-based assets.
Anyone with an ENS name before October 31st can receive an ENS governance token and become a member of the DAO at any time until May 4th, 2022. They then use their tokens to authorize another user to vote on their behalf on issues related to pricing, protocol, and treasury usage. In short, it’s like a representative democracy.
“For the past year or two we’ve seen [an] Explosion in innovation and experimentation with the DAO, ”said Brantly Millegan, Chief Operations Officer of ENS Decryption. “ENS is not a DAO test project, but a naming project, and we think DAOs are mature enough to be able to entrust a project with the key parameters of the ENS protocol.”
The token serves another, more fundamental purpose: the further funding of the project. ENS founder Nick Johnson told us Decryption, “We had been looking at grants for a long time when we built the platform and traction.”
Now it has that traction. Based on Data available on Dune Analytics, ENS set a record for new .eth name registrations at 7,057 on Tuesday, more than double the previous high. Yesterday it was crowned the Record 7,125 despite the fact that the Airdrop allotment was consolidated on October 31st.
But the moral here is not that we should become “airdrop farmers” turning into logs to get rich. tweeted Kinjal Shah from Blockchain Capital. Instead, she writes: “Find products that you love and use them. The magic can go on if we don’t turn this into a predator. “