©Reuters
Recent support from Ethereum co-founder Vitalik Buterin has propelled the Ethereum Name Service (ENS) token to new highs, with its value rising significantly. The ENS token saw a dramatic increase of over 39.1%, reaching a peak of $13.94. This sharp rise coincided with a notable increase in trading volume, which reached $313 million.
Buterin’s support for the integration of the Ethereum Name Service with Layer 2 blockchains, and more specifically his proposal to improve ENS through trustless Cross-Chain Interoperability Protocol (CCIP) resolvers for networks layer 2, has been one of the main drivers of the token’s surge. Investors and participants in the decentralized finance (DeFi) industry have closely followed developments around ENS due to its growing importance within the Ethereum ecosystem.
The role of the Ethereum Name Service in the DeFi space is becoming increasingly important, as evidenced by the registration of over 2.1 million domains on the platform. This growth is indicative of the increasing utility and adoption of ENS, which allows users to translate complex Ethereum addresses into human-readable names, such as “bob.eth.” The integration of the service with Layer 2 solutions and the potential use of CCIP resolvers should improve its scalability and accessibility, further integrating it into the fabric of the Ethereum network.
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