The Growing Importance Of Web3 Domains For The New Internet
Web3 domains (also called crypto domains) are quickly garnering attention worldwide as they pave the way for a decentralized, secure internet experience. These domains are built on blockchain technology and have many benefits over traditional web2 domains. Many individuals and businesses have started investing in web3 domains, given its wide range of applications, and considering how it will eventually change the future of the internet.
In this post, we will highlight some key benefits of web3 domains, giving you a better understanding of their importance for the new internet era.
4 Reasons Why You Need A Web3 Domain
Irrefutable Ownership of Domain
A traditional domain is never truly yours. All top-level domains (TLDs) on web2 are owned by the Internet Corporation for Assigned Names and Numbers (ICANN). And even the second-level domains have a recurring renewal fee, so you’re leasing the domain and not really owning it. However, when you purchase a crypto domain, it is completely yours.
Crypto domains are recorded on a blockchain, which means they are distributed over a network of servers or nodes. This guarantees ownership that is tamper-proof and beyond the control of any central authority. There are no recurring fees either – pay once, and the domain is yours forever. What’s interesting is that you can not only buy second-level domains but even purchase and own TLDs on web3.
More than just a website
When we hear ‘domains,’ we associate them with ‘websites.’ After all, the only application of web2 domains is to serve as the website’s identity. However, this is now changing. Web3 domains allow you to do more than just build a website. For example, you can link your domain with your crypto wallet and then make crypto transactions directly using your domain name instead of entering the long and complex wallet ID every time.
And that’s not all. A whole ecosystem of tools and applications are being developed around web3 domains that let you send emails, remotely collaborate with teams, manage events and schedule, and even conduct virtual meetings and conferences. Connect your web3 domain to such applications, and it will serve as the centerpiece of your entire digital workspace.
Income generation opportunities
The rise of crypto domains also opens the door for various business opportunities. First of all, you can purchase a TLD and become a registrar. Whenever someone purchases a second-level domain with your TLD, you will earn a certain royalty percentage. Also, web3 domains are still quite affordable, but their value will steadily increase as the demand grows. There are domains available for as low as $5, so it’s a great opportunity to invest in them now and sell them a few years later for much higher rates. Since the new domains are not just websites, owning them is like owning real estate in the digital world.
Access to Decentralized Apps
Along with web3 domains, countless blockchain-based applications have also hit the market. They are called decentralized apps, or dApps in short, spanning many sectors—finance, art, gaming, social networking, and more. Your crypto domain will be the universal username to log in to such apps, so you never need to keep track of login credentials for different apps. This is another benefit of web3 domains.
dApps are decentralized, as the name suggests. So while you’re using these apps, your data is fully in your own hands, and no third party can access it under any circumstance. Your emails, personal and financial information, and any other sensitive data will always be encrypted and accessible only to you. That means with web3 domain and dApps, you become a part of the new internet where you have 100% control over your data.
Conclusion
Web3 domains aren’t going to replace web2 domains any time soon fully, but they are becoming a hot prospect in the digital world. Purchasing a web3 domain gives you complete, irrefutable ownership of the domain. You can even purchase TLDs and become a domain registrar yourself. And unlike traditional domains, web3 domains are more than just an address for building websites. They serve as multifunctional tools that can be used for communication, collaboration, transactions, and much more.
