I receive comments that the content of my research is too lengthy, and in a short summary I was not able to properly convey the main ideas.
So I decided to highlight issues that I hope will reveal to the public that the current situation is dangerous and could result in a product that so many people have worked and are working on falling into public oblivion.
What is the problem?
ENS name registrations have been falling continuously for a year now. This is the first time we are faced with such a situation. There is no cycle here, we are just falling down.
And what? The trend has a logarithmic function, which means we won’t fall further, which means we can stay at the same values for some time and develop organically, right?
The number of registered names DEPENDS on market conditions. So much so that we can say that, at best, an average of 60% of registrations are a derivative of general market movements, which can be called the prevalence of speculative interest.
But speculative interest is not always bad, because it helps development and can be a good driver?
Yes! But only when it is continuous; otherwise, they lose interest in us as quickly as they gain interest, which is why our positioning and identity suffer and a negative image appears.
Okay, but the bull run is coming soon, and this means that our sales will go up…
The main problem is the nature of the dependence of the number of sales on the market, because it is exponential. Yes, we will greatly increase the average sales level when everyone is again interested in crypto and web3. But we will absolutely collapse along with the market. What if the bull market does not start, but there is another crash that no one expects? In this case, we risk finding ourselves in a catastrophic situation in which the only thing we can count on is a miracle.
It is also worth considering the fact that we are tied not to the cryptocurrency market, but to the NFT market (the indicators of which I did not take because they are not very informative). Like the NFT market, ENS name registrations lag the crypto market by 25-46 weeks. The presence of a lag in correlation with the crypto market will only tell us that for the next at least 25 weeks after the start of the expected bull market, registrations will remain at the same level, if nothing is done, of course.
The DAO still has a lot of money, we can survive a dozen crypto winters!
Representatives of all major projects that have ever gone bankrupt probably thought the same thing. I understand that the goal of ENS is not to earn money, but without them, unfortunately, it will not be possible to develop and support the product.
You don’t understand, organic development is our way. We will develop the product, and people will naturally become interested in it.
This is what worries me the most. What I’m trying to convey is that wishful thinking is DANGEROUS. We don’t live in a decentralized world where people subscribe to modern web3 values. We are just in the beginning. And who better than ENS to build such a future?
The actual value of a product and its promotion multiply each other. I won’t tell you a big secret - if you don’t pay attention to marketing, no one will notice the value of your product. Is this really the situation you would like to find yourself in after 6 years of development? Promotion is not needed to sell more, but to spread and move the world towards mass adoption.
All your proposed classic methods of promotion are nonsense that we would not want to associate with our product.
If this is true – ok. In my mini demographic study, I made the case that the ENS community is exclusive and closed in several ways. And the blame for this lies, among other things, on the chosen strategy of existing only in its Information bubble. If you don’t want to use contextual advertising, let’s at least diversify the channels of communication with humanity. And this is just one of hundreds of steps we can take.
With the big picture in hand, we can get rid of the speculative image and attract millions of people who truly value the product. If we leave this unattended, there is a possibility that the next crypto market crash will be the last for the ENS product.
In closing, everything I say is pretty obvious. This could be understandable to you, because recently ENS has acquired a significant number of haters. This was also probably clear to the management, because a marketing department was established. This was clear to me, but I still decided to write this study to clearly show that ENS actually has problems and the potential for critical situations. I propose to use a systematic approach in solving these problems.
