ENS - A decentralized name system that simplifies the blockchain experience

Using cryptocurrencies and interacting with the blockchain should be as simple as sending a message or accessing a website. But instead, users face long, confusing addresses—random strings of hexadecimal characters that are hard to remember and easy to miswrite. This is where ENS (Ethereum Name Service) comes in, a revolutionary system that converts these complex addresses into simple, human-readable names like “alice.eth.”

How ENS Solves the Complex Address Problem

Imagine having to type a 42-character string every time you want to send money—that’s how users feel without ENS. The system functions like an internet phone book for the blockchain, allowing you to register a memorable name instead of dealing with complex codes.

ENS names are registered as non-fungible tokens (NFTs) under the ERC-721 standard, meaning you truly own them. You can transfer, sell, or even gift them as digital assets, just like any other digital property. When you register a name like “alice.eth,” you become its owner and have full control over it.

A great example of simplicity: instead of saying “send funds to 0x742d35Cc6634C0532925a3b844Bc9e7595f42bE,” you can just say “send to alice.eth.” Fewer mistakes, less chance your funds end up at the wrong address.

Technical Architecture and How ENS Works

The system uses a hierarchical structure very similar to the traditional DNS (Domain Name System) used on the internet. At the top are top-level domains like “.eth,” with an arbitrary number of subdomains beneath.

Technically, ENS uses two resolution methods:

Direct resolution translates an ENS name (e.g., “alice.eth”) into one or more addresses or related data. When you enter “alice.eth” into an app, the system finds the corresponding wallet or other linked information.

Reverse resolution does the opposite—it links an address to a textual name. This way, an app can display “alice.eth” instead of a long hexadecimal string, making the experience much more human-friendly and intuitive.

ENS domain owners can create unlimited subdomains under their domains. If you own “alice.eth,” you can arbitrarily create “shop.alice.eth,” “mail.alice.eth,” or anything else you need—each subdomain can be assigned to different people or applications.

Practical Uses of ENS Names in Daily Life

ENS isn’t just about sending money—it’s a flexible system for identification and connection in the decentralized world.

With an ENS name, you can link addresses from various blockchains, simplifying cross-chain transactions. Instead of memorizing separate addresses for Bitcoin, Ethereum, and others, everything can be linked to a single ENS name.

But that’s just the beginning. ENS names can store much more than addresses—social media profiles (Twitter, Discord), email addresses, or cryptographic hashes pointing to IPFS files or websites. This makes it possible to use ENS as part of a decentralized identity—one place where all your information is accessible and verifiable.

Communities and decentralized organizations use ENS to manage groups of subdomains. For example, the Uniswap exchange issues ENS subdomains to its users, allowing them to have personalized names on the network without gas fees.

Registration Process, Costs, and Renewal of ENS Names

Registration is simple and affordable. Visit the official ENS app, connect your wallet, search for an available name, and register it by paying a fee in ETH. Unlike the early days when popular names were allocated via auction (using Vickrey auctions), most names are now assigned on a first-come, first-served basis.

Prices vary depending on the length of the name. Names with five or more characters typically cost around $5 per year. Shorter names (3-4 characters) are more expensive due to their rarity—few are available, and everyone wants them. Fees are paid in ETH but are adjusted via Chainlink oracles to maintain a stable dollar value.

ENS domains require periodic renewal to retain ownership. After expiration, there is a 90-day grace period during which you can renew the name before it is returned to the pool of available names.

Management, Security, and the Future of the ENS Platform

ENS is managed by a decentralized autonomous organization (DAO), whose members are those holding ENS tokens. The community decides on key aspects such as fee structures, protocol upgrades, and other important decisions. This ensures no central entity can unilaterally change the rules in a way that disadvantages users.

When you own ENS names, they are protected by smart contracts on Ethereum. They cannot be revoked unless you lose your private keys or forget to renew before expiration. It’s true ownership—no one can take them away.

ENS has expanded beyond the main Ethereum network. It now operates on Layer 2 solutions like Linea and zkSync, enabling faster and cheaper registration and renewal. Some applications even issue subdomains off-chain, allowing free registrations without gas fees.

Conclusion

In the world of decentralized networks and cryptocurrencies, ENS represents a practical step toward better usability. It transforms blockchain from a mysterious technological tool accessible only to enthusiasts into a system that everyday users can understand and use. Addresses that once were unreadable become personalized, memorable, and even tradable.

Just as most of us no longer use IP addresses to navigate the internet—relying instead on domain names—it’s likely we will soon see widespread adoption of ENS names as the standard way to interact with the blockchain. ENS has demonstrated that decentralization doesn’t have to be sacrificed for simplicity.