Blockchain Domains ENS Handshake and Beyond

Blockchain domains represent a paradigm shift in how internet identities and digital assets are owned, managed, and resolved. Unlike traditional domain names, which are registered through centralized authorities such as ICANN and hosted via DNS infrastructure controlled by registrars and registries, blockchain domains are decentralized. They are registered, stored, and transferred on distributed ledgers, often using smart contracts, which allow users to exercise full ownership over their domain without the risk of censorship, seizure, or administrative revocation. Among the most prominent blockchain domain systems are the Ethereum Name Service (ENS) and Handshake (HNS), both of which aim to democratize the domain space while solving fundamental issues of control, trust, and interoperability.

The Ethereum Name Service, or ENS, is perhaps the most well-known blockchain-based domain project, operating as a decentralized naming system on the Ethereum blockchain. ENS domains typically end in .eth and are represented as non-fungible tokens (NFTs) conforming to the ERC-721 standard. Once registered, these domains are fully owned by the user through a private wallet and can be managed or transferred using smart contracts. ENS enables not only human-readable Ethereum addresses (e.g., alice.eth instead of 0xAB12…34CD) but also supports content hash storage, DNS record mapping, and multi-coin address resolution. This makes ENS domains function both as a universal Web3 identifier and as a flexible infrastructure for decentralized websites hosted on IPFS or other distributed file systems.

ENS has seen broad adoption within the Ethereum ecosystem, with wallet integrations across MetaMask, Coinbase Wallet, Rainbow, and others, as well as compatibility with decentralized apps (dApps). Users can link their ENS names to their on-chain identity, use them as usernames in DAOs, and associate profile data such as avatars and bios via the ENS metadata standard. The growing adoption of .eth domains has created a secondary market where premium ENS names—especially those that are short, numeric, or brand-relevant—are traded at high valuations, sometimes fetching six- or seven-figure sums on marketplaces like OpenSea. ENS’s success is underpinned by its tight integration with Ethereum infrastructure, but that same dependency also limits its scalability and multi-chain compatibility.

Handshake (HNS), on the other hand, represents a different approach to decentralized naming. It is not tied to a smart contract platform like Ethereum but instead introduces its own blockchain specifically designed to decentralize the root zone of the DNS. In traditional internet architecture, the root zone is governed by ICANN and a small set of authoritative root servers, which serve as the ultimate source of truth for top-level domains (TLDs). Handshake challenges this model by allowing anyone to register TLDs through a decentralized auction mechanism, using HNS tokens to bid on and win control of names. Once a TLD is secured, the owner can then subdelegate domains under that TLD or build independent registries entirely outside the ICANN framework.

Handshake’s most innovative feature is its ability to coexist with the legacy DNS system. Through DNS-over-HTTPS resolvers and modified recursive resolvers like NextDNS or HNSD, users can resolve both traditional and Handshake domains in a hybrid setup. For example, a browser configured with a Handshake-compatible resolver can load websites on both .com and .satoshi domains. This creates a practical path for adoption without requiring users to abandon the existing internet structure. Handshake also allows mapping of traditional domains to HNS names via DNSSEC proofs, effectively bridging the gap between Web2 and Web3. The decentralized nature of Handshake domains makes them censorship-resistant, as there is no central authority capable of removing or reassigning a name once it has been claimed.

Beyond ENS and Handshake, several other blockchain-based domain projects have emerged, each with unique architectures and use cases. Unstoppable Domains, for example, operates on Ethereum and Polygon and offers TLDs such as .crypto, .wallet, and .nft. These domains are minted as NFTs and enable one-time purchase with no renewal fees. Like ENS, they can be used to simplify crypto transactions, create Web3 profiles, and point to decentralized content. However, Unstoppable Domains’ namespace is not interoperable with DNS and is maintained by a central registry, raising questions about the true extent of its decentralization.

Other efforts like Namecoin, the earliest attempt at blockchain domains, pioneered the idea of decentralized naming with the .bit extension. Despite its pioneering status, Namecoin struggled with adoption due to technical limitations and lack of integration with mainstream browsers or wallets. More recent entrants like Bonfida on the Solana blockchain and SPACE ID on BNB Chain are introducing domain standards tailored to their native ecosystems, offering lightweight alternatives for identity and asset linking within those networks. These projects highlight the growing demand for identity infrastructure that is blockchain-native, composable, and user-owned.

The adoption of blockchain domains remains constrained by practical challenges, including browser support, user education, and interoperability with existing systems. Traditional browsers like Chrome and Safari do not natively resolve blockchain domains, requiring browser extensions or custom DNS resolvers to access these namespaces. Wallet usability, transaction costs, and the complexity of setting content records also pose hurdles for mainstream users. Furthermore, regulatory ambiguity around naming rights, intellectual property conflicts, and potential fraud remain unresolved in the decentralized context. Unlike ICANN, which enforces uniform dispute resolution policies such as UDRP, blockchain domains currently lack consistent legal frameworks for resolving domain ownership disputes, creating risk for brand owners and investors alike.

Despite these challenges, the momentum behind blockchain domains continues to build, fueled by broader adoption of decentralized finance (DeFi), NFTs, DAOs, and the evolving concept of the metaverse. Blockchain domains are positioned as the backbone of user-controlled digital identity—functioning simultaneously as wallet aliases, login credentials, content gateways, and social handles. As the infrastructure matures and resolves current usability issues, these domains may become integral to the Web3 experience, offering a level of ownership, privacy, and permanence that centralized DNS cannot match.

In summary, the landscape of blockchain domains is rapidly evolving, with ENS and Handshake leading divergent but complementary paths toward a decentralized internet. ENS focuses on Ethereum-native identity and application integration, while Handshake reimagines the DNS root itself, offering sovereignty over top-level domains. Together with emerging projects tailored to specific chains and use cases, these technologies are redefining what it means to own a domain name—turning digital addresses from leased assets into true property governed by code, consensus, and cryptographic ownership.

Blockchain domains represent a paradigm shift in how internet identities and digital assets are owned, managed, and resolved. Unlike traditional domain names, which are registered through centralized authorities such as ICANN and hosted via DNS infrastructure controlled by registrars and registries, blockchain domains are decentralized. They are registered, stored, and transferred on distributed ledgers, often…