Why Ethereum Name Service (ENS) Will Skyrocket

Last Updated May 16th 2022

6 Min Read

Investing in ENS now could help you generate massive returns over the long run.

Despite all the technological advancements occurring in the crypto sector, cryptocurrencies still use a system similar to the old IP address setup, which is highly complicated. For example, if you want to send your Bitcoin to someone else’s address, you will have to use that person's wallet address instead of something user-friendly like the wallet owner’s name. Today most industries and tech workers are shifting from Web2 to Web3, and with this move, awareness of blockchain technology is also spreading. This is where the significance of Ethereum Name Service (ENS) comes in.

Ethereum Name Service has a unique value proposition since it is the first service that transfers the Domain Name Service to the decentralized Web3. So let us see why Ethereum Name Service will skyrocket in 2022.

Why Choose Ethereum Name Service?

Ethereum Name Service has been one of the best performing cryptocurrencies, making ENS a good buy now.

The Ethereum Name Service is a distributed, open and expandable naming system interacting with the Ethereum blockchain. ENS aims to make the crypto and decentralized finance space seamless for users by permitting a user to create a universal nickname for all their public addresses and decentralized websites. It is best to choose ENS because instead of having an unreadable string of keys for each crypto address, users have a single ENS domain, where they can receive any kind of crypto and NFTs.

The benefit of using this system is that records cannot be destroyed and are secured by the Ethereum blockchain. Additionally, names and addresses become more transparent and easier to interact with through ENS. Anyone can easily create or register an ".eth" domain by participating in an auction process.

Although Ethereum Name Service (ENS) is relatively similar to Domain Name Service (DNS), the latter is highly secured since it's developed for Ethereum smart contracts and does not suffer from security issues faced by a DNS system.

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

Is ENS Going To Skyrocket In 2022?

ENS would likely skyrocket in 2022 since the crypto has made a significant impact in the larger blockchain sphere.

ENS allows users to buy and manage their own domains, ensuring secure and decentralized transactions without dealing with long and complex addresses. Experts believe that ENS will skyrocket in the future as it aims to become the naming protocol of the decentralized internet by creating portable Web 3.0 usernames, interoperable across all blockchains and decentralized apps (dApps).

Those who want to create their Web3 username can start by searching for an available domain in the ENS app. It is a fully decentralized protocol that is not managed by a traditional company hierarchy, but rather is community-governed as a DAO (decentralized autonomous organization). The ENS DAO is governed by the ENS token, which is also a governance token used to submit proposals and cast votes to influence the protocol’s future development.

Factors That Push ENS To Skyrocket To New Heights

The token’s utility is one key factor that pushes the price of ENS to skyrocket to new highs.

Ethereum Name Service - Uniqueness

ENS stands out from the crowd because, unlike its competitors, it does not want to replace DNS. It mainly focuses on providing distributed, trustworthy name resolution for Web3 resources such as blockchain addresses and distributed content. Moreover, since it's built on Ethereum’s smart contracts, the network is more secure, private, and resistant to censorship. By leveraging the existing Ethereum ecosystem, ENS becomes highly programmable and can interact with other smart contracts outside of naming.

Record Domain Registration

Yet another reason why ENS will continue to skyrocket is the record surge in registrations recently. The new domain saw a registration of around 162,978, breaking all the records. The record month of growth for ENS also helped the network hit a new milestone with one million created names.

Why ENS Will Skyrocket?: Expert Predictions

Experts predict that the price of ENS will rise even higher by the end of the year, thanks to increased adoption.

TechNewsLeader:

“There is a chance that the average price of ENS will rise to about $20.59 by 2022 if more investors are attracted to the idea. For 2022, the year can end with a maximum price of $22.52.”

DigitalCoinPrice

“DigitalCoinPrice has an ENS price prediction that is rather more conservative. The site says that the token could reach around $24.86 in 2022, before hitting $28.02 the following year before falling back down to $26.63 in 2024.”

Don't Miss: Ethereum Name Service Coin Price Predictions

Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.

Should You Invest $1000 In ENS Right Now?

ENS is the first service of its kind for crypto and blockchain addresses, making it one of the best cryptos to invest in now.

Several other services have attempted to compete with the DNS for the internet. However, ENS stands apart by offering human-readable nicknames that can work across all your wallets, dApps, and decentralized websites. By transforming complicated strings of characters into short and memorable links, it aims to make crypto transactions more understandable and accessible for blockchain beginners.

By removing the risks associated with its single point of failure, ENS offers a decentralized alternative to the internet’s traditional DNS. Ethereum Name Service will likely skyrocket in the future as the project aims to help facilitate Web3 adoption by making it easier for dApp users to interact with the Ethereum network.

The Bottomline

Blockchain and crypto have become more familiar parts of our collective lexicon as Web 3.0 has started to take shape, forming a groundswell. Ethereum Name Service could be one of the best cryptos to buy now as it is a potentially valuable contour of Web 3.0.