Nice post. Agree with many points you shared.
One point that needs more discussion though is to refine and constrain the goals of ENSIP-14. The message above seems to suggest that the goals are to incentivize individuals acting on a small scale to spread the word about ENS. For example: one person telling a friend about ENS over a beer. Maybe this person sends their friend to ens.domains, maybe they send their friend to ens.vision, or to Namehash or somewhere else, for example.
As I understand it however, this small scale use case is NOT the goal of ENSIP-14. That’s a fair goal, but just out of scope for ENSIP-14 as I understand it. Open to feedback of course !
The way I understand it, the goal of ENSIP-14 is to provide a kind of “performance-based grant issuance” to the large scale platforms that are making larger investments in advancing the ENS ecosystem through revenues the ENS DAO collects through registrations and renewals.
Why would the ENS DAO want to do this revenue sharing? Of course, platforms like ENSVision and Namehash can generate revenues all on our own without any action from the ENS DAO through registrations and renewals using a “forwarding contract” that adds incremental costs to customers. For example, we can collect $5.99 from a user to perform a registration and only $5.00 of that is ultimately retained by ENS. There’s no issues with anything here at a technical level. But it means that we’re adding more and more costs to end-users and that’s unfortunate and impacts overall ENS market adoption. We’d prefer to minimize these added costs!
It seems safe to assume that ENSVision made meaningful investments into building their platform. It also seems safe to assume that ENSVision’s innovations helped to spark a boom in ENS registrations. This boom is great. It helps everyone in the ENS community, including the ENS DAO, etc…
Wouldn’t it be better that we could reduce the need to add incremental costs to customers and instead acquire the revenues needed to economically sustain these large scale projects through a sharing of the $5.00 collected by ENS? With ENSIP-14 it seems there’s a way this could be achieved that’s performance-based and largely automated.
This idea connects with your big point about gas costs being a significant barrier for adoption. We can all add lots and lots of fees on top of base registration costs to generate revenue, but these added fees impact ENS adoption ! Price elasticity of demand is a real phenomenon !
Many people are going to use platforms like ENSVision, Namehash, and others to find and acquire their first “.eth” name because we’ve made significant investments in building specialized user experiences / marketing / etc… When these people get to the checkout, what is going to happen? Are they going to be turned off by prices that are too high? Will they decide to buy, or not to buy? Will the ENS ecosystem grow or not grow?
The goals I’m proposing for ENSIP-14 are to reduce the prices these people will pay to acquire a “.eth” name through platforms like ENSVision or Namehash while still retaining the ability for our platforms to be economically sustainable in making large investments for advancing the ENS ecosystem.
What do you think?