What is Ethereum Name Service (ENS)?
Ethereum Name Service (ENS) - a service of the Ethereum network that allows you to assign names to your wallet.
- ENS is the service that uses the Ethereum name and allows you to make transactions without having the public key or address of the recipient.
- This service allows Ether holders to buy unique domains and assign it to a wallet address for ease of work.
- Its native token, ENS, gives even more speed and ease to transactions made within the Ethereum Name Service.
Key Metrics ENS
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Cap de Mercado
Ethereum Name Service (ENS) is a system that is based entirely on the Ethereum blockchain. What characterizes this new service is that it converts Ethereum addresses into something more readable, for example: trubit.eth, i.e. into alphanumeric codes readable by anyone.
For that reason the goal of Ethereum Name Service is to make the Ethereum-based web much easier to access and understand, at least for humans. It is very similar to how DNS works in that it uses separate names with dots called domains and subdomains.
Both DNS and ENS are tasked with resolving addresses, but ENS has the great advantage of allowing different types of information to be indexed in the same domain.
The main objective of this network is to facilitate peer-to-peer transactions by having only one domain for the deposit and transactions, and not the alphanumeric addresses that are usually used in the crypto world. Of course with all the security of traditional methods.
ENS is based on two smart contracts:
- The first is an ENS registry, which stores information such as: domain owner, domain resolver and caching time.
- The second is a resolver, which is responsible for translating machine-readable addresses to domain names (and vice versa), fully securing the use of ENS.
The Ethereum Name Service (ENS) Token
ENS is the token that helps with the governance of the Ethereum Name Service network, and helps influence decisions about pricing, addressing and network administration, this because holders or holders of an ENS can have a say within the community.
Currently the total supply of ENS is 100 million ENS, with a circulating supply of just over 20 million (according to the market). The Ethereum Name Service network is one of the cryptocurrencies that has a more complicated or difficult to understand distribution, but it works to keep the price in the $10 to $20 USD range.
During its launch, only 10% of the total circulation, i.e. 10 million STD, were available. This resulted in the cryptocurrency being priced above USD 70 by the end of the year of 2021. Another 10% (20 million) had to be released in order to balance its price in 2022, as the community's idea is for the token to have an average price of 15 to 20 USD. The plan is for another 20% to be released into circulation over the next 4 years.
It is worth noting that the vast majority of ENS possessors (25%) are Ethereum (ETC) users or holders, so ENS also started to become a good way to distribute rewards in Airdrops mode.