According to an analysis report by crypto research firm Delphi Digital, more and more ENS buyers are starting to see domain names as investments. They will buy frequently used domains and resell them for profit. Last week, 000.eth was sold for 300 ETH, sparking transactions interest in three-digit ENS domain names and attempts to hype.
Jeff Mei, CMO of ChainUp, said the increase in shorter domain name registrations may be related to NFT investors preferring shorter tags, as their value may be higher.
In addition, another reason for the surge in ENS registrations this week is that the gas fee of Ethereum has dropped significantly. Jisu Park, founder of Sooho, said that in the current bear market environment, the gas price of Ethereum is low, which provides investors with large-scale registration of ENS domain names. This is a great opportunity because the main cost of ENS domain name registration is gas fees, and since gas fees are now significantly reduced, investors are very willing to claim and trade ENS domain names during this window.