A 300-ETH Deal Boosts ENS Domain Registrations

The recent acquisition of an Ethereum Name Service (ENS) domain, “000.eth,” by an unknown buyer for the price of 300 ETH has resulted in a significant increase in the number of new registrations for the decentralized domain name protocol. The domain names are open source, Web3-friendly, and non-profit, and they are powered by smart contracts that run on Ethereum. They can be registered by users and used in place of their public keys, which makes them more readable than the default string of alphanumeric and numerical characters that are used on the blockchain.

Between the 3rd and 4th of July, new registrations for ENS domains increased from approximately 12,000 to over 35,000, according to data provided by Dune analytics. The increase in demand occurred after the domain name “000.eth” was purchased for a total of $316,862.81, making it the second-biggest deal ever for a domain name. The current record purchase price for an ENS domain is 420 ETH, which at the time of the transaction in October 2021 had a value equivalent to $1.5 million USD.

Despite the fact that the domain name “000.eth” was obtained under a pseudonym, there are rumors that the venture capital firm Paradigm may be responsible. This sentiment was repeated in the purchase of Paradigm.eth, which the corporation was also supposed to be behind prior to putting an end to the speculations that they were behind it.

Despite this, it is abundantly evident from the on-chain data that whoever is responsible for the purchase is a crypto aficionado of the highest kind. The wallet that is now holding “000.eth” also contains the ENS domains “samanatha-000.eth” and “samanatha.eth,” as well as a few high-end NFTs. It is likely that the owner of the wallet also possesses a Fidenza #229 and a Bored Ape #3553. These two items are estimated to be valued at roughly 115 ETH and 85 ETH, respectively.

In terms of the domain name itself, EtheOS was the one and only proprietor prior to June 2020, when they took possession of it. The domain name “000.eth” was initially listed for sale in September 2021 for a price of 100 ETH, which was equivalent to $300,000 at the time. After that, the user re-listed the name for a price of 500 ETH each time in January of this year and again in March of this year. The offer was active for a period of three months until it was finally taken up by a buyer.

In spite of the general decline in crypto values, the purchase of the name appeared to have generated a frenzy for the ENS domains. There has been a noticeable surge in the number of domains that have recently been registered, and many users are expecting to capitalize on the excitement.

A considerable number of new addresses consisting of only three digits have been generated as a direct result of the aftermath of the transaction, which has also ushered in a 3-digit mania. In addition, ENS has finally surpassed OpenSea in trade volume, surpassing it for the first time in the past twenty-four hours.

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Other digital collectibles, such as the well-known Bored Ape Yacht club and Otherdeed for Otherside, were rebranded as a result of the domain name. With a volume of 1,040.7 ETH, the digital asset was able to keep its position as the leader in spite of a decline of 29 percent in twenty-four hours. In spite of the fact that its floor pricing was far lower than those of its competitors, it made up for it in terms of sheer transaction volume. Over 437,000 people who own ENSs were able to adequately make up for the shortfall.

In addition, the names are NFTs, which means that they may be purchased and sold on well-known websites such as OpenSea. According to the available data, the ENS is one of the naming standards that is used the most frequently. It now has over 1.1 million names, 504 integrations, and more than 400 thousand owners. Because of the one-of-a-kind quality of the names, some owners are able to purchase domain names even though they do not intend to utilize such names. Squatting refers to the practice of purchasing property with the intention of later selling it for more money once the value of the property has increased.

As venture capital firms continue to invest billions of dollars in the Web3 industry, ENS domains are expected to continue their ascent to the forefront of the industry. Already, numerous well-known names have undergone name changes to incorporate the .eth extension into their domain names. They include Alexis Ohanian, who helped develop Reddit; Brian Armstrong, who works for Coinbase; Tobias Lütke, who is the CEO of Shopify; and Vitalik Buterin, who helped found Ethereum. Snoop Dogg, Paris Hilton, and Jimmy Fallon are just some of the celebrities who have earned Web3 identities on Ethereum. Celebrities are not excluded from this trend.