🎞️Inscribed Domains

The current domain naming system (DNS) relies on centralized authorities, raising concerns about censorship, single points of failure, and potential manipulation. Decentralized domain naming services (DDNS) built directly on blockchains emerge as a compelling alternative, promising greater control, security, and resistance to censorship. Web5 is strongly built on the principles of DDNS. But can true decentralization be achieved solely on-chain, and what are the implications?

Understanding On-Chain DDNS

• Core Principle: Domain ownership and data are stored directly on the blockchain, eliminating the need for centralized registries.

• Technical Implementation: On-chain solutions typically leverage smart contracts on a chosen blockchain like Ethereum or Solana. These contracts manage domain creation, ownership transfers, and resolution.

• Using Inscriptions: The same can be achieved for inscriptions using an issuing address to validate domain name validity. The private key can be held using a multi-sig with strict rules. This is akin to DNSSEC.

• Key Elements:

  • Domain representation: Domains are often represented as NFTs (Non-Fungible Tokens) with unique identifiers, ensuring ownership immutability and transferability. A cheaper alternative and easier cross-chain referencing can be achieved using inscriptions and a multi-chain indexer.

  • Data storage: Domain attributes like resolution records (pointing to content) can typically be stored on-chain, utilizing roll-ups and cheaper L2s for operations.

  • Consensus mechanisms: Blockchain consensus ensures data integrity and resistance to tampering.

Advantages of On-Chain DDNS over conventional

• Censorship resistance: No single entity controls the system, making it resilient to censorship or shutdowns.

• Transparency and immutability: All domain data is publicly verifiable on the blockchain, fostering trust and transparency.

• Enhanced security: Blockchain features like cryptographic security and decentralization offer robust protection against attacks.

• Potential for innovation: On-chain capabilities and smart contracts open doors for novel features and integrations.

Challenges and Considerations

• Scalability: Storing all domain data on-chain can be expensive and potentially unsustainable with widespread adoption. Though this is addressed by inscriptions and multi-chain indexing, we have yet to verify potential limitations and roadblocks.

• Integration with existing infrastructure: Seamless integration with legacy systems and browsers poses challenges. The Brave browser has been front-running other browsers by resolving ENS-like DDNS, which is a positive sign.

• Decentralization trade-offs: Balancing true decentralization with efficient consensus mechanisms and user-friendliness remains a complex task. A lot of wallets are working towards simplifying the landscape to help mass adoption.

Current Landscape and Future Outlook

Several pioneering projects like Handshake, Unstoppable Domains, and Namecoin explore on-chain DDNS with various approaches and trade-offs. The field is rapidly evolving, with ongoing research and development addressing scalability, user experience, and integration challenges.

Conclusion

On-chain DDNS offers a promising pathway towards a decentralized and censorship-resistant domain naming system. While hurdles exist, ongoing advancements can potentially reshape the future of domain ownership and control in the digital landscape.

With cross-chain compatibility through indexing and inexpensive data-recording mechanics used by inscriptions, we can further cement the viability of DDNS.