ENS is an Ethereum blockchain-based name and lookup service that allows crypto users to convert their machine-readable addresses to human-readable addresses. Consider it a nickname generator for public Ethereum addresses, with the goal of making crypto more accessible. It converts difficult-to-read data series into easily readable addresses. It works in the same way that the Domain Name System (DNS) for webpages does.
Assume your friend wishes to pay you for lunch in bitcoin. To do so, you must give your Ethereum public address, which is made up of 42 hexadecimal characters and looks something like "1eDC25EF0F5B8V186998338A2ADA83795FBA2D693RE." This is your IBAN, and it allows others to pay cryptocurrency to your wallet. With ENS, you may create a "nickname" for your public address, so instead of sharing that difficult string of characters with your friend, you'll have a link, such as "John.eth," that is immediately linked to your public address.
ENS, in addition to Ethereum addresses, provides human-readable domains for other crypto wallets, websites, content hashes, and metadata — aiming to be your Web3 username, connecting all your addresses and websites under a single nickname, so you can receive any type of cryptocurrency or NFTs via your ENS domain.
Two Ethereum smart contracts serve as the foundation for ENS. The first smart contract is the ENS registry, which holds three important pieces of information about each domain: the owner of the domain, the resolver for the domain, and the caching time for all entries under the domain. The resolver is the second smart contract, which converts domain names to machine-readable addresses and vice versa. This second smart contract associates each domain with the appropriate user, website, or address.
ENS operates similarly to the Internet's DNS in that it features a hierarchical system that gives the domain owner complete control for all subdomains. So, Johnwick.eth can create wallet.Johnwick.eth and email.Johnwick.eth.
If you've ever been puzzled by many addresses when sending cryptocurrency, you'll understand why ENS is necessary. ENS allows users to convert long numbers into easy-to-remember words, similar to how you would save a friend's phone number under their name. This results in a more straightforward experience with fewer opportunities for error.
An ENS domain owner can also construct subdomains to which they can allocate additional data. It also does not always have to be a wallet address. It could be used to point to a smart contract, a transaction, or metadata.
You can use an Ethereum wallet, such as MetaMask, to search for available domain names at manager.ens.domains. Once you've found your domain, the system will lead you through the registration process, which will require two wallet confirmations. You'll also have to decide how many years you wish to register a domain for, with rent starting at $5.00 per year. As the domain owner, you can now specify the addresses or information you wish that name to connect to, as well as any subdomains.
The Ethereum Name Service has announced the launch of its governance token, $ENS, which will be used to further decentralize the popular domain service for ETH wallets. According to a public announcement made by Ethereum Name Service, the $ENS token would be used to vote on a new constitution and set protocol specifications.
Users who have an Ethereum wallet and have already registered for an ENS domain can claim ENS tokens through the claims site until May 4, 2022. Unclaimed tokens will be transferred to the DAO's treasury. In all, one-quarter of the $ENS supply is now available for.eth domain holders to claim. Each wallet receives a variable quantity of ENS depending on how long it has owned the domain and whether it has a Primary ENS when it expires.
In the world of decentralized networks, ENS is a step toward making it easier to interact with a blockchain. Just as we no longer require IP addresses to traverse the web, we may see a rise in ENS names as a result of their use and growing popularity. Since the airdrop, there has been an increase in interest in the project from the cryptocurrency sector.