Ethereum Name Service plans major .eth overhaul with one irreversible catch for domain holders

The Ethereum Name Service has put forward a plan to activate ENSv2 without forcing current .eth domain owners to transition over to the updated network.

Put forth on Oct. 11, the proposal allows participants to hold onto their existing names indefinitely via ongoing renewals, while providing a permanent transition route for anyone seeking advanced functionalities.

Upon activation, ENSv2 will manage all fresh .eth name creations, superseding the legacy registration framework. Owners who opt to migrate will permanently shift their domain administration to the new architecture, noting that there is no protocol pathway to retrieve their original tokens.

This initiative awaits validation by the ENS decentralized autonomous organization (DAO), which outlined the pending ballot in its Oct. 12 governance update. A formal release schedule has not yet been disclosed by ENS.

ENSv2 introduces permanent migration and higher registration fees

This network upgrade aims to substitute the original 2017 ENS registry with a hierarchical design, empowering specific domains to operate independent registries for their respective subdomains.

Such modifications enhance administrative flexibility, enabling enterprises and decentralized apps to allocate oversight for specific naming conventions or records without relinquishing broader command.

Throughout the transfer, a participant’s legacy ENSv1 token is deposited into a smart contract designated as the Graveyard, which lacks the capability to return or route incoming tokens.

Conversely, individuals opting to stay on ENSv1 maintain full utility of their handles and can proceed with renewals via a specialized contract that likewise safeguards their ENSv2 name reservations.

The system evolution brings adjustments to pricing structures for name registrations.

Based on official ENS documentation, yearly fees for domains featuring five characters or more will increase by 60%—moving from $5 to $8—whereas pricing for three- and four-character alternatives stays constant.

Furthermore, ENSv2 rolls out incentives for extended commitments, dropping annual expenses by roughly 44% for participants securing durations of six years or longer.

Transactions for registering and extending names will shift to stablecoins like USDC and DAI, supplanting ETH-based transactions and anchoring pricing in fiat terms.

Domain expiration policies undergo adjustments as well.

The current 90-day grace window will be cut down to 28 days for transferred domains. To offset this, ENS will push out registration expiration timelines by 62 days, maintaining the net timeframe before handles enter the open market.

Handles staying on ENSv1 keep their 90-day grace duration, whereas titles already lapsed past that threshold will not secure reservations within the updated directory.

Executing this rollout introduces distinct operational hurdles.

ENS anticipates a brief halt to fresh registrations while engineering teams harmonize current records and launch the new framework, an undertaking projected to span several hours.

Contradictory clauses within the blueprint regarding extensions during this blackout window generate ambiguity concerning whether active owners can prolong their domains prior to ENSv2 going live.

Crypto wallets and external applications relying on ENS must likewise upgrade their resolution frameworks to accommodate the updated network.

Once authorization clears, ENS Labs will finalize data synchronization, launch ENSv2 lookup and registration services, and hand over its residual administrative controls to the DAO.

The exact schedule for these milestones, alongside clarity surrounding renewal protocols during the transition phase, remains undecided prior to the governance vote.

?Frequently Asked Questions

01Do current .eth domain holders have to migrate to ENSv2?

No, existing .eth domain holders are not required to migrate. They can keep their current names indefinitely as long as they continue to renew them.

02What happens to tokens when users migrate to ENSv2?

An owner’s existing ENSv1 token will move into a smart contract known as the Graveyard, which cannot return or transfer the tokens it receives. The migration is permanent with no mechanism for returning original tokens.

03How will registration fees change under ENSv2?

Annual fees for names containing five or more characters will rise 60% from $5 to $8. Prices for three- and four-character names will remain unchanged. Additionally, discounts will be introduced for longer registrations of six or more years.

04Will payments still be made in ETH?

No, registration and renewal payments will use stablecoins, including USDC and DAI, replacing ETH-denominated payments.