Domain NFTs perk up numerous possibilities, giving website creators more freedom
Domain NFTs (otherwise known as decentralized domains, crypto domains, Web3 domains or blockchain domains) are unique domains represented by a single non-fungible token (NFT) that combine two essential elements—crypto wallet addresses that function as website domains.
To fully understand the concept behind these types of NFTs, it’s important to know exactly how the digital assets work.
So, what exactly are domain NFTs, and how can you get one?
DOMAIN NFTS MADE CLEAR
Firstly, it’s helpful to understand what NFTs are to get a good idea of how domain NFTs function. NFTs are tokens that correspond to a single unique asset, such as an image, a music file, or (in this case) a domain.
Domains are the text tied into a browser (Google Chrome, Brave, etc.) to reach a specific website.
To understand which type of domain you are looking at when scoping the internet, Web2 domains end in .org, .gov or .com. Web3 domains mostly finish with .crypto, .x, .zil or .nft.
Unlike Web2 domains, domain NFTs refer to decentralized apps that run on the blockchain. The digital assets wipe away the need for third parties due to being 100% user owned.
When purchasing a Web2 domain, you “rent” it for some time rather than owning it. You can extend the registration by paying an annual fee, but the domain name becomes up for grabs as soon as you forget.
Other advantages include:
- Buying, selling and storing domain NFTs like “normal” NFTs
- Crypto can be sent to the end users NFT domain address, providing the currency is compatible
- The digital assets work as a hosting service
- Multiple wallet addresses can correspond to the domains
- Wipes away the need for intermediates that steal data
Although sounding divergent from Web2 domains, domain NFTs still require the basics of Web2 types.
HOW TO PURCHASE AN NFT DOMAIN
To buy a traditional Web2 domain, you can go to the domain registrar’s site—like GoDaddy or Google Domains—search for a specific name, and purchase it with a credit or Visa card, providing the name is readily available.
Buying a domain NFT is similar for the most part. Like GoDaddy or Google Domains, you can search a domain NFT marketplace, such as Unstoppable Domains, and browse for the domain name desired before purchasing it with either crypto or FIAT.
The marketplace will then show numerous extensions, like .dao, .nft, .crypto and more. You can pick your preferred one.
To finalize the purchase, you will need to “mint” the token that correlates with the domain on the blockchain. The process shall only take a few minutes.
Once the minting process finishes, you own 100% of your chosen domain name. To prevent potential fraudulent activity, ensure it’s out of reach of hackers and appropriately stored.
FINAL NOTES – THE NEED FOR DOMAIN NFTS
Domain NFTs are an upgrade to traditional Web2 environments. These digital assets perk up numerous new possibilities, giving website creators much needed freedom.
The website addresses stored on-chain give users ways to manage their digital selves that are no more complicated than what they experience today. Better still, they scrap the need for third parties who steal and control data.
It’s important to note that many traditional browsers, like Google Chrome, are yet to support domains like .crypto or .zil. However, many crypto-friendly browsers, like Brave, support NFT domains and offer safer internet browsing.
If you are interested in owning a personal domain name with numerous use cases that no one can tamper with, be sure to also keep a look out for Cortex Network.
Subscribe to the NFT Lately newsletter to receive news covering the latest NFT-related drops, releases, reviews and more.