We recently caught up with Lars Seier Christensen, Chairman of the Concordium Foundation and founder of Saxo Bank. He talked about the future of Internet domains.
With the rise of technologies such as blockchain/DLT, crypto, and the Metaverse, Lars believes that traditional top-level domains like .com and .net will soon be “a thing of the past.” His view is that blockchain or DLT-powered domains, which aren’t controlled by centralized services, will overtake traditional domains in the coming years.
Compared to TLDs, blockchain domains offer lots more use cases and utilities – such as leasing sub-domains under the main domain. They’ll eventually replace website addresses, bank accounts, emails, and so much more, Lars claims.
A Concordium partner has been working to develop domains based on a Self-Sovereign ID blockchain, meaning domain names are “indirectly connected to real identities.”
In an interview with Crowdfund Insider, Lars explained how blockchain domains work, how they differ from TLD domains, and their wide range of use-cases.
Our discussion with Lars Seier Christensen is shared below.
Crowdfund Insider: What are blockchain-based domains?
Lars Seier Christensen: Blockchain-based domains are open, distributed, extendable wallet naming services. They help with replacing hexadecimal machine-level wallet names with easier-to-remember, human-readable names.
Crowdfund Insider: How are they different from traditional domains?
Lars Seier Christensen: Blockchain-based domains are a distributed ledger technology and are uncensorable, open, and decentralised – unlike traditional domains that are centralised and controlled by ICANN.
One difference is that they can be used for dapp logins and domain names for decentralised websites rather than just being wallet names. This is why they are known as blockchain-based domains rather than a wallet naming service.
Crowdfund Insider: What are the benefits of blockchain-based domains?
Lars Seier Christensen: They have multiple uses – wallet names, dapp logins, decentralised web domain names.
They have ease of blockchain transactions.
They have blockchain inherited security.
They are open & Transparent.
Crowdfund Insider: Are there any downsides to blockchain-based domains?
Lars Seier Christensen: Blockchain-based domains are not currently regulated or standardised, which often results in cybersquatters extorting brands by taking advantage of their immutability and claiming their names first.
As a result, naming services such as CNS & ENS are now using a yearly subscription model rather than a perpetual ownership from a one-time purchase. And blockchain-based domain names are governed by DAOs to help resolve conflicts that may arise.
Crowdfund Insider: What are their use cases?
Lars Seier Christensen: These names serve as a Digital Identification, which are verified on-chain, so it is employed in community buildings where particular subgroups or subsets are then formed into clubs.
Here are some use-cases:
Wallet transactions – Make transactions with mark.ccd rather than some address that looks like “23fsbvdhtyvbhhDcHTG65…”
Build Anonymous brands and Identities.
Crowdfund Insider: Can you give some examples of blockchain-based domains?
Lars Seier Christensen:
- The Ethereum Name Service (ENS)
- The Concordium Name Service (CNS)
- Solana Name Service – bonfida
- Unstoppable Domains
Crowdfund Insider: What does their future look like?
Lars Seier Christensen: The future is beginning to look much more welcoming for Blockchain-based domains, with the rising levels of Domain Name Systems (DNS) attacks and the adoption of blockchain technology continuing to increase. Brands and celebrities have recently caused a ‘gold rush’ type situation as they race to secure their names on the Ethereum Name Service for reputational status as with BAYC.
Unstoppable Domains have also recently completed a $65 Million Series A funding and crossed the Unicorn valuation mark. In addition to this, multiple browsers such as Brave and Opera are beginning to show native support for these systems too.