Top domain registrar GoDaddy has recently announced its partnership with Ethereum Name Service (ENS) to allow easy integration between traditional DNS domain names (like .com and .net) and blockchain-based ENS .eth domains. GoDaddy users will now be able to link their existing domain names to ENS names they own without paying additional fees. This means they can use the .com address instead of the .eth name across Ethereum-compatible apps.

For example, if you own mywebsite.com and mywebsite.eth, you use your mywebsite.com domain for crypto payments, Web3 site logins, and more.

What's a domain registrar?

Whenever you try to access a website, your computer looks up its exact address, fetches the contents of the site from a web server, and loads the webpage in your browser. This IP address identifies the server hosting the website and consists of a string of four numbers, such as 45.376.18.937. To make it easy to remember, a domain name service (DNS) is needed to shorten the numbers into a name that is easy to read and remember, such as Bitskwela.com.

The .com part of a website URL is called a top level domain (TLD). TLDs are used for websites and email addresses (like myusername@bitskwela.com). They are bought from registrars like GoDaddy, which provides domain registration and web hosting services to over 20 million individuals and businesses globally.

What is Ethereum Name Service (ENS)?

Domain name registrars like GoDaddy, Namecheap, etc. are centralized. Ethereum Name Service, or ENS, is not. Instead, it offers decentralized, blockchain-based domain name registration on the Ethereum network using .eth as the TLD. Unlike traditional domains, ENS domains are created using smart contracts and stored on the blockchain. They are compatible with wallets, NFT platforms, metaverses, decentralized apps, and other aspects of the blockchain ecosystem.

What are the benefits for GoDaddy users?

This new integration between traditional DNS domains and blockchain-based ENS names is very significant for the following reasons:

• It makes decentralized, blockchain-based domains accessible to millions of Web2 users worldwide. This lowers the barriers to entry for Web3 newbies who want to leverage blockchain services without paying additional fees or navigating multiple platform-to-platform integrations.
• It unifies user identity. Users can use a single domain name across both Web2 and Web3 platforms.
• It lets website owners receive crypto in their wallet or integrate with Web3 apps using their website instead of having to separately connect their Web3 wallet addresses.

Users of Brave Browser may already be familiar with the concept. Brave allows its users to set up a wallet and earn Basic Attention Tokens (BAT) for their browser activity. They can either withdraw the funds through a crypto wallet or use them to tip their favorite content creators. Just as Brave integrates crypto assets with traditional web infrastructure, the GoDaddy-ENS linkage allows customers to connect their existing websites with blockchain-based apps without friction.

However, it does come with a few limitations:

• Compatibility is still limited, since some browsers don't fully support ENS yet.
• Network congestion or other problems with the blockchain network could affect the success of transactions.

So while easy to configure, users should be aware that full functionality still requires compatible software and a stable blockchain.

What are the implications for the future of Web3 adoption?

Let's take a look at a hypothetical example of how an online fashion store could benefit from this new ENS integration through GoDaddy.

Say there is a fashion e-commerce site called fashionclothing.com that wants to start accepting crypto payments from Ethereum users. They already own fashionclothing.com through GoDaddy. First, they need to purchase the ENS name fashionclothing.eth by purchasing an NFT. Next, in the GoDaddy dashboard, they link these two domains together. Finally, they add Ethereum payment options to their shopping cart. Now customers can select ETH as a payment method, and simply enter fashionclothing.com as the recipient address. This allows fashionclothing.com to start accepting crypto payments without paying for additional service integrations or making any coding changes.

The collaboration between legacy web giant GoDaddy and next-generation blockchain service ENS points to a possible future where traditional centralized Web2 companies and decentralized Web3 services co-exist. Instead of competing with each other, the future lies in simplifying integrations between the two and building on the strengths each ecosystem offers. The ultimate goal, of course, is to improve the user experience for all.