Ethereum Domain Name System ENS will adopt a premium reduction mechanism for .ETH domain names released after expiration

The Ethereum Domain Name System ENS stated that there have been people renewing their domain names in the past few months. Now it has reached the last month of the 90-day “grace period”. By August 2nd, about 280,000 domain names that have not been updated will be released and others can register these domain names. Ethereum gas fees have been very high in the past few months, and they are unwilling to see users paying higher and higher gas fees for grabbing newly released domain names at the same time (that is, falling into “Gas auction”). The problem of high gas fees has become more serious. After discussion, it was decided to release a new mechanism “Premium Decreasing Mechanism”. This mechanism allows the domain name to be released with a premium of $2,000 (that is, $2,000 above the normal registration price), and linearly reduce the premium to $0 (a reduction of $71 per day) within 28 days. Therefore, the registration fee after 28 days is the normal price (for example, most domain names are $5 per year). According to the data obtained from the short domain name auction, $2,000 is higher than the registration price of 99% of domain names, so this can prevent most domain names from being registered due to high gas fees when they expire. Coupled with the 28-day transition period, there should be enough time for people to get a domain name at a worthwhile price.