25 Nov 2022
All you need to know about Ethereum Name Service (ENS) and it’s importance
What is the Ethereum Name Service (ENS)? And why is it so important?
If you have been catching up with the crypto developments for some time, you would have probably heard of this term called the Ethereum Name Service (ENS) and its similarities to DNS.
But what is it exactly, and how does it work? Wait… Actually, how does the DNS even work?
Fret not, as we will explore these topics in today’s article straightforwardly for you to understand, and by the end of this article, you will be up to speed on what ENS is.
But before diving into the ENS, let’s look at its predecessor, the DNS.
DNS explained in one minute
The DNS, also known as the Domain Name System, is the naming system used for everyday websites like Netflix, Google, or Twitter. You might not know this — everything on the internet has an IP address, even the device you are reading this article from!
For example, your laptop’s IP address might be 43.55.32.44, and the website for Flagship is 104.21.1.133.
Your laptop and Flagship’s website need to know each other’s IP addresses to communicate so that you can read our insightful and well-written articles! And to access Flagship’s website, you need to type in the IP address in your web browser’s search bar… so imagine having to type in "104.21.1.133” every time you wanted to read our articles; that would be terrible!
This is why the DNS was created — to help translate legible domain names into IP addresses so that every time you want to access Flagship’s Outpost, you have to type in. flagship.fyi/outposts.
ENS explained in one minute
Similar to the DNS, ENS, also known as the Ethereum Name Service, works in a way that helps to translate legible crypto addresses into native crypto addresses.
In the past, transferring value from wallet to wallet required you to remember something like “0xFD27e865B3289Ffc8107266d39sscD4d2Cb1Dee9f”… which definitely is hard. However, with the introduction of ENS, this has allowed you to buy the ENS domain and link that address to say “albert.eth”, and then communicate from wallet to wallet by typing that ENS domain instead of “0xFD27e865B3289Ffc8107266d39FcD4d2Cb1Dee9f”.
Benefits of ENS, and the difference between DNS
Essentially, ENS is beneficial for crypto users, because just like the DNS, it allows you to reduce user errors because remembering a .eth domain is much easier than remembering a wallet address, and it is harder to make an error when typing a .eth domain when making transactions.
Last but not least, while ENS and DNS are similar in terms of how it works, the difference between a DNS and ENS lies in the fact that the ENS relies on the blockchain to function, meaning that the ENS is much more secure as it relies on many computers to verify that the ENS is true, while for DNS, it is prone to hacks due to its centralized servers. For example, if GoDaddy was hacked, then a lot of problems might occur.
Disclaimer: Nothing on this site should be construed as a financial investment recommendation. It’s important to understand that investing is a high-risk activity. Investments expose money to potential loss.
