ENS is the governance token of the Ethereum Name Service protocol.
ENS is a low-cap asset that represents the protocol's native governance or utility token. This asset is exposed to the underlying risks of Ethereum Name Service, a protocol rated as Best in Class. The asset has a fixed supply.
ENS is moderately correlated to the overall market.
Ethereum Name Service
ENS is the governance token for the Ethereum Name Service DAO. The primary use for ENS is to govern the future direction of the DAO. The ENS DAO employs a delegated governance structure where token holders are encouraged to entrust their voting power to a community member with shared views on the protocol's outlook.
The total supply of ENS is capped at 100M tokens. 25% of the token supply was scheduled to receive an airdrop to ETH addresses that were registrants of a .ETH domain name. Addresses receive tokens in proportion to the total time of their past registration and future registration as of the airdrop snapshot date (October 31, 2021). Active users of ENS domains, identified by the status of their primary ENS name, received a 2x multiplier as the ENS DAO determined this group of users were actively growing usage. Contributors were also allocated 25% of the total supply, with core contributors receiving about 19%. The remaining 50% of the supply was allocated to the DAO treasury to fund future growth opportunities.
The ongoing success and adoption of ENS domains is expected to accrue value to token holders through positive price impacts. ENS token holders also have a say in the use of the DAO treasury.