The increase in registrations coincides with the Ethereum community’s preparations for the impending merge, which will convert the leading blockchain for dapps, DAOs, and NFTs from a proof-of-work to a proof-of-stake consensus mechanism.
In addition to 48,000 new Ethereum accounts using at least one ENS name and more than 99 percent of the domain sales volume on OpenSea last month, ENS Domains claimed to have generated 5,400 ETH (about $8.8 million) in revenue. They saw a record number of registrations in a tweet.
July 2022 stats for ENS
– 378K new .eth registrations (total 1.86m names)
– $6.8m in protocol revenue (all goes to the DAO)
– 5,400 ETH in revenue (highest ever month)
– 48K new eth accounts w/ at least 1 ENS name (total 508k)
– >99% of OpenSea domain vol pic.twitter.com/TdD16FOX2dAugust 1, 2022
Khori Whittaker, Executive Director of True Names Limited, the organization behind ENS Domains, thinks the spike is more naturally occurring even though the merger may have contributed to it.
“An ecosystem of ENS champions that is highly active and enthusiastic, and they are independently and organically building sub-communities and spreading the word about what’s possible with ENS domains.”
According to Whittaker, the ecosystem’s independent developers would not have been able to create the markets, other ENS-related programs, and organizations like the “999 club, “among others, there is the “10k club,” the “TLC” club, and the “100k club.”
According to Whittaker, the decline in gas rates for Ethereum transactions was another element that contributed to the increase. He remarked, “We’ve seen a jump in domain registration activity when petrol prices fall.”
Whittaker claims that the business has also begun to notice an increase in non-English speaking groups in the ENS ecosystem, including those that speak Arabic and Spanish.
What are ENS, and What Are its Uses?
The .eth domain names built on Ethereum are issued and renewed by the Ethereum Name Service, or ENS. These domains are available for sale as non-fungible tokens (NFTs), which are cryptographically distinct tokens connected to digital (and occasionally physical) content and serve as ownership proof.
Additionally, ENS domains can be linked to a cryptocurrency wallet. Users can provide their .eth domain name and receive a transaction rather than using a lengthy Ethereum address to prove a sender.
Other companies offering domains with a crypto-related extension have also entered the market, offering names ending in .sol, .bitcoin, and .zil, among others. These domain types have also developed into well-liked signifiers of Web3 “belongingness.”
On his official Twitter account in June, renowned actor Anthony Hopkins added a .eth domain to his name. He requested advice from Snoop Dogg, Jimmy Fallon, and Reese Witherspoon over which NFT Hopkins should purchase first.
I’m astonished by all the great NFT artists. Jumping in to acquire my first piece, any recommendations? @SnoopDogg @JimmyFallon @ReeseW pic.twitter.com/pjeP8dVNfDJune 8, 2022
Whittaker states, “people are looking for high-quality initiatives and procedures with longevity.” “The Ethereum Name Service is undoubtedly one of the most well-known of the numerous fascinating and entertaining Web3 projects out there.