Increased ENS Domain Registrations Thanks to a 300-ETH Deal

The recent purchase of a “000.eth” domain from the Ethereum Name Service (ENS) by an unidentified bidder for 300 ETH has significantly increased the amount of new registrations for the decentralized domain name system. The domain names are driven by Ethereum-based smart contracts and are open source, Web3-compliant, and non-profit. They are more understandable than the blockchain’s standard string of alphanumeric and numeric characters since they can be registered by users and used in place of their public keys.

According to information provided by Dune analytics, new registrations for ENS domains jumped between the third and fourth of July from over 12,000 to over 35,000. After the second-largest deal ever for a domain name, “000.eth,” which cost a total of $316,862.81, there was an uptick in demand. At the time of the transaction in October 2021, 420 ETH, which is the current record buying price for an ENS domain, was worth $1.5 million USD.

There are rumors that the venture capital firm Paradigm may be to blame even though the domain name “000.eth” was acquired using a false identity. This idea was reiterated in the acquisition of Paradigm.eth, which the company was also rumored to be behind before putting an end to such rumors.

Despite this, the on-chain data makes it plainly clear that whoever is in charge of the purchase is a crypto enthusiast of the highest order. The ENS domains “samanatha-000.eth” and “samanatha.eth,” as well as a few high-end NFTs, are also present in the wallet that is currently holding “000.eth.” The owner of the wallet is probably also in possession of a Bored Ape #3553 and a Fidenza #229. These two things are thought to be worth approximately 115 and 85 ETH, respectively.

Prior to June 2020, when they obtained ownership of the domain name, EtheOS was its sole and exclusive owner. In September 2021, the domain name “000.eth” was put up for auction for 100 ETH, which was equal to $300,000 at the time. After that, in January of this year and again in March of this year, the user re-listed the name for a price of 500 ETH each time. Before a buyer eventually accepted the offer, it remained open for three months.

Despite the general drop in crypto values, there seemed to be a frenzy for the ENS domains when the name was purchased. There has been a noteworthy increase in the quantity of domains registered recently, and many people hope to take advantage of the excitement.

The aftermath of the transaction, which also brought about a 3-digit mania, resulted in the creation of a sizable number of new addresses with only three numbers. Additionally, ENS has now exceeded OpenSea for the first time in the last twenty-four hours in terms of trading volume.

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As a result of the domain name, several digital treasures were rebranded, including the well-known Bored Ape Yacht Club and Otherdeed for Otherside. Despite a decrease of 29 percent in just 24 hours, the digital asset was still able to maintain its top spot with a volume of 1,040.7 ETH. Even though its floor pricing was significantly lower than those of its rivals, it made up for it with the volume of transactions. Owners of ENSs, who number over 437,000, were able to sufficiently make up the difference.

The names are NFTs as well, which enables them to be bought and sold on well-known platforms like OpenSea. The ENS is one of the naming standards that is used the most frequently, based on the data that is currently available. It currently has more than 400 thousand owners, 504 integrations, and over 1.1 million names. Some owners are able to purchase domain names while having no plans to use them because of the uniqueness of the names. The act of buying property with the goal to sell it for more money once the value has improved is referred to as squatting.

ENS domains are anticipated to keep rising to the top of the market as venture capital firms continue to invest billions of dollars in the Web3 sector. Many well-known brands have already changed their names in order to add the.eth extension to their domain names. They include Tobias Lütke, the CEO of Shopify; Brian Armstrong, a Coinbase employee; Alexis Ohanian, a Reddit co-founder; and Vitalik Buterin, a co-founder of Ethereum. Celebrities who have acquired Web3 identities on Ethereum include Jimmy Fallon, Paris Hilton, and Snoop Dogg. The tendency does not exclude celebrities.