Today in Markets

An ENS Partership Pump

ENS partners with a web2 domain giant.
Feb 5, 20241 min read

GoGasless: Ethereum Name Service (ENS) gained 12% this morning after announcing a partnership with trad domain name registry service GoDaddy. What feature is behind the ENS pump?

Starting today, GoDaddy users can seamlessly associate their internet domain names with an Ethereum address under a new section in their domain management interface called “Crypto Wallet” to receive support for their address from any application that supports ENS for free (pending some application-side upgrades)!

While traditional domains could previously be imported into ENS without a protocol fee, this action incurred a heavy ETH gas fee due to the amount of data that needed to be saved to the blockchain to verify ownership of a domain.

Thanks to ENS’s Gasless DNSSEC smart contract upgrade powered by EIP-3668, ENS can now fetch and verify offchain data on-demand and no longer needs to interact with the blockchain to set up a crypto-enabled DNS address. As gas is no longer required to create an address, ENS can allow traditional domain holders to spin one up for free!

By removing all costs associated with converting an internet domain into a crypto-enabled address and getting their feature natively integrated with GoDaddy (the largest domain registry in the world), ENS has comfortably positioned itself to capitalize on demand for crypto naming services the next time the trad world becomes obsessed with crypto.

While ENS does not currently take a fee on their DNS services, it could be monetized into a lucrative revenue driver in a future where a company’s crypto address becomes an important nexus for accepting payments from customers and interacting with the financial system!

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