What Are ENS Domains?
The latest NFT craze is here and you do not want to miss the boat. ENS Domains have been taking the NFT market by storm and they are here to stay.
ENS stands for Ethereum Name Service and these domains act as custom Web 3 usernames. Instead of having the normal 42 character long wallet address, you can use an ENS Domain to make your address more recognizable and easy to remember.
This means rather than your wallet address being a long line of letters and numbers, it can be your name or something else simple (e.g. Franklin.eth, or Tiffany.eth).
The possibilities are limitless and this utility is the reason why these NFTs have received so much attention recently. The future opportunities that these domain names have as more people and companies adopt the Web 3 space are exciting.
Why Are These So Popular?
The real reason why ENS Domains have caught fire in the NFT market is because of the base utility in making a wallet address recognizable and personal. For people who want to feel a personal ownership over their wallet, they can use an ENS domain to change their wallet address to their twitter or discord username. This creates the opportunity for short, easy to memorize wallet addresses that make sending and receiving money very easy.
Others have found value in ENS as a finite source of names and numbers. There is a small number of low-digit combinations that are possible, so as Web 3 adoption continues, these will become more coveted for their rarity. As a result, these have been priced highly on the secondary market. ENS domains that only consist of 3 digits (123.eth or 789.eth) have a current floor of 46.8 ETH. These have become popular because of their scarcity and subsequently, other related collections like 4 digit names have also garnered attention and value.
How Can I Find ENS NFTs That Make Money?
The amazing thing about ENS Domains is that it encourages and rewards creativity. Having conviction in your ideas and hopping on trends early can be very rewarding and pay handsomely. For example, during the first ENS bull run, digit names were the primary focus. The public’s full attention was on these names, but people who thought outside the box saw opportunities in other niches like Pokemon names and Web 2 company names. These eventually caught fire too and the early investors were able to make thousands of dollars reselling these domain names.
Even now, the possibilities with ENS are virtually endless. You can buy popular names off secondary to sell them for higher, or try to mint your own new domain names. The trick is just thinking creatively. Maybe you can mint abbreviations for popular phrases or you can mint different phone numbers of famous figures who may want the domain in the future. You can also take a stab at different languages to fit a popular trend that is going on in their culture.
ENS Domains are the ultimate investment in NFTs for the future. As Web 3 continues to integrate itself into Web 2, the desire for ENS will increase. Use this early advantage to explore different names that will be goldmines in the future. Creativity will be rewarded, so do not be afraid to take a risk on what will be trending next.