The Ethereum Name Service is a decentralized, distributed, and Turing-complete name system. It maps human-readable names to numerical addresses on the Ethereum blockchain.

When you think of blockchain technology, Ethereum is not the first name that comes to mind. However, when you think of such applications as smart contracts and dApps (decentralized applications), it is easy to understand why Ethereum is so important.

Typically, a blockchain is a public ledger where any member can see, send, or withdraw money or assets. For this reason, we associated a few pitfalls with using blockchain-based technologies.

Ethereum emerged to address these shortcomings by providing a decentralized solution to its users. What is Ethereum Name Service, and how does it create new domains?

What is Ethereum Name Service?

The Ethereum Name Service is a decentralized, distributed, and Turing-complete name system. It maps human-readable names to numerical addresses on the Ethereum blockchain.

Furthermore, ENS is a blockchain-based service that allows users to register, manipulate, and exchange names via smart contracts. The ENS resolves human-readable names into their cryptocurrency addresses on the Ethereum blockchain.

The ENS is an extension of the existing Ethereum address system for use with digital currency transactions. Using smart contracts, the ENS allows users to register and manipulate names directly on the blockchain.

It is a meta-protocol that ensures that all names registered in the system are unique. If you have two people who want to use “Nick” as their username, they will each get their unique address under Nick’s name on the blockchain.

ENS has two main functions:

1)      It allows you to register a name you own or control and associate it with an Ethereum address.

2)      It also allows you to manage the ownership of that name, allowing you to transfer that name from one address to another.

How the Ethereum Name Service works

The Ethereum Name Service (ENS) is a new way to manage and monetize names on the blockchain. The ENS allows anyone to register a name on Ethereum. It can then operate as an address or as part of a transaction on the network. The system works in two ways:

a) Registry

ENS registry will record all registered domains on ENS. Furthermore, this entity can store three critical pieces of information about each domain: caching time, resolver, and domain owner.

ENS holders can register their names for use in the Ethereum blockchain.

More importantly, this gives them control over their property on the blockchain, which can represent any contract or data.

The role of the ENS registry is to map from a name to the revolver. If you are the domain owner in the registry, you can alter the ownership of the subdomains, transfer the domain ownership to a different address and set a resolver and the time to live for the domain.

b) Resolver

Resolver is another smart contract that will convert domain names into machine-readable addresses and vice versa. It is a smart contract that will match each domain with a suitable user, address, or website.

The process of resolving a name in ENS needs two steps. The first is to inquire about the registry and what the resolver does in the said name. The second option is to inquire about that specific resolver for the answer to the query.

Why is Ethereum Name Service ENS important?

The Ethereum Name Service (ENS) is a smart contract that allows people to register and manage names on the Ethereum blockchain. It is important because it allows people to create their domain names without needing permission from anyone else.

The ENS allows people to register names without going through third-party registrars. Even better, this can apply in many ways, including allowing users to register their domain name while still being able to use services like email or websites hosted by third parties.

In addition, the ENS has other uses as well. For example, it can be useful for developers who want to create games that require players to have unique IDs for their characters or items. It also allows them to use these IDs in their game code so that they know which character or item belongs to which player.

The ENS Governance Token

ENS token is a standard token that uses ERC-20 on the Ethereum blockchain. The role of this tone is for system governance.

More importantly, this ENS governance token allows users to vote on proposals and later vote for the protocol direction. The project aims to create a new consensus protocol that will enable all stakeholders in the ENS ecosystem to participate in decision-making. Typically, the ENS governance token is vital when voting on the following:

  • Proposal: The user or group can submit a proposal to create a new name on the Ethereum blockchain. The proposal must be approved by at least 51% of all tokens before it can get added to Ethereum’s blockchain.
  • Voting: Voting allows you to cast your vote on whether or not you want to add a new name to Ethereum’s blockchain. It also helps validate that enough tokens voted to add this name to Ethereum’s blockchain.

ENS Tokenomics

ENS governance token is an ERC-20 token. It is a utility token for voting on proposals and launching new features.

The ENS token performs a similar role as the Ethereum network’s native tokens but with no mining or other costs associated with transaction processing.

The value of these tokens can be key when voting for specific proposals, and the network will execute proposals that earn enough votes.

The governance system rewards users for participating in the network and allows users to stake their tokens to participate in governance. If you hold ENS tokens, you can use them to vote on proposals affecting your wallet and receive rewards accordingly.

The Difference Between ENS and DNS

DNS stands for Domain Name System. It’s a system of mapping domain names to IP addresses that computers use to look up Web addresses, such as or You type a domain name (such as into your browser, and the browser looks up which IP address belongs to that domain name using DNS.

ENS (Ethereum Name Service) is a way to create an Ethereum address without giving out your private key. 

Instead, you can use the ENS name service and associate an ENS address with your Ethereum address. The action means that anyone who knows how to send Ethereum from their account can send funds to your ENS address without giving out their private key or any information about themselves!

The ENS is similar to existing DNS systems, but it has some key differences:

1.  No central authority controls the namespace or manages who can register names. Anyone can create a new name for their domain or subdomain without having to pay any fees for registration or renewal;

2. Names are directly attached to their corresponding addresses in a format similar to hashes and can be easily verified;

3. Names are resolved by anonymous miners using a proof-of-work algorithm and stored in a distributed ledger, which allows anyone to look up a name’s hash value and verify it against other records in the blockchain;

4. Users can register names for their businesses or projects but may also use them as aliases for their everyday internet accounts (e.g., Google mail).


The immutability of blockchain technology is a powerful idea, one that will be able to impact several different industries. Smart contracts will become more and more common in the future, and Ethereum offers an exciting new way of managing transactions.

Their Ethereum Name Service will help pave the path for even more technical innovation in the future, and it’s sure to make smart contracts simpler to use and more common in everyday life.

ENS makes holding and managing addresses more convenient and secure while remaining compatible with other tools. If you’re interested in launching your token or project, ENS is worth looking into.