By Franklin Smith
The craze around ENS (Ethereum Name Service) has seen downs and ups in the cryptocurrency community this year. There- and four-digit domain named noted increased demand in April and May. However, could August reciprocate a similar tale?
Cementing the Name
The buzz and popularity around Ethereum Name Service domains witness all traction types within the marketplace. Meanwhile, Google Trends search for ‘ENS Domain Name’ indicated a gradual drop in interest by internet navigators in that subject since early May.
Though the popularity took a blow, it did not stop the network’s performance during this publication. For instance, ENS revealed recovery signals as the network exceeded a massive milestone in registered domains, hitting above 2 million. That represents an enormous surge within four months.
Moreover, it means a more than 90% ENS price gain after the network exceeded 1M registered domains in April. ENS lead developer and founder Nick Johnson retweeted that it took five years to hit 1M names and only three and a half months to hit 2M.
The highly-expected Merge could play a minor portion in the surged activity. Another facet might be the gas fee reduction for ETH transactions.
Historically, domain registration activity surged when gas fees dropped. The sudden registration uptick at April-end capped off the project’s record month. Nevertheless, August saw some plummets in various parameters (compared to June or April).
While publishing this news, new domain registrations witnessed 296,150 (Dune Analytics data). Nevertheless, 33.740 addresses joined in August.
The resurged ENS domains’ interest had the protocol recording $4,838,962 monthly revenue from renewals and registrations. Besides that, the sales volume reiterated similar cases, which had August lagging.
But still, in the race. ENS domains saw their sales volume at record highs early in 2022, with secondary sales hitting $60 million in May. Moreover, Messari data shows three-digit addresses had their floor prices hitting 20+ ETH.
Trying to Establish a Name
Generally, the ENS coin outshone its past. But the token was attempting to recover its lost gains, especially during the May sessions. The platform noted a 66% dip in ETH registration last month.
ENS coin dropped by 29% during that timeframe. While publishing this post, ENS saw some respite, gaining 2% to trade at $12.65 (Coinmarketcap)