Solana is arguably one of the most important ecosystems in the digital space. It strives to be the fastest blockchain in the world, supporting and hosting various projects in the DeFi and NFT spaces. Some people see this blockchain as one of Ethereum’s biggest competitors. This project is highly scalable, so users hardly care about settlement of transactions. In this article, we will carefully examine the main steps to take to create a Solana domain name.
What makes the Solana estate important?
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Today, users can access the Solana name service to take advantage of a decentralized way to map domain names to on-chain data. It is usually difficult to keep track of wallet addresses, especially when using many wallets. And since addresses are just strings of letters, it’s hard to remember them. Now you can bind a readable name to your address. This can simplify your transfers. Many wallet addresses cannot be linked to a particular name.
Most people have to copy their address from their wallet when they need to make a transaction. it is often a waste of time and difficult. To ensure adoption of the digital space, we need a structure to simplify the process for the average human. The Solana naming service faces a few challenges, mainly due to its affordability. Because owning a .sol domain name is relatively cheap, people would probably buy many names to profit from a resale. Fortunately, the platform has created a way to handle this problem.
What is the Solana Naming Service?
This naming service is a way for you to register a . SOL domain at an affordable price. Currently, large companies control the purchase of domain names, which makes the structure largely centralized. In addition to being centralized, they also cost a lot of money, considering the annual fees. This makes a domain name inaccessible to many people. Another issue with centralized naming services is limiting your use of certain domain names. Naming service Solana hopes to change that by creating decentralized domain names. It gives interested buyers domain names and registers them on a blockchain so anyone can become a permanent owner unless they auction it off. You don’t need to pay annual fees or transact with intermediaries.
Creating your domain name is a fairly simple process. However, you must pay gas fees for your transaction. Since getting a domain name is quite affordable with decentralized naming services, many people are concerned that anyone could impersonate businesses or buy many domain names, preventing others from getting them. Bonfida-Solana’s naming service provider implements different ways to meet these challenges.
Before a person can purchase a domain name, the name will be auctioned off. If no one outbids the buyer, they can own the domain name. However, if another person bids higher, the name reverts to the new buyer. Certain names are popular in the asset space. Bad actors may try to buy these names to impersonate legitimate companies. This forced Bonfida to create a special category of domain names, which cannot be purchased without the purchaser providing some form of proof. With this, bad actors will have a hard time impersonating.
How to buy your .sol domain name
The first step
Before buying your .sol domain name, you need a suitable wallet. For this guide, we will be using the Phantom Wallet. Creating a wallet with ghost is relatively simple. You must create a password and then confirm your password. Also, it will ask you to copy your safe recovery phrase. Remember that your seed phrase is essential, so you should keep it safe and don’t share it with anyone. Add the wallet as an extension to your browser, so you can easily buy the name. You can also choose to use other wallets on Solana. Some other wallets supporting the asset include Sollet, Solflare, Torus, and Slope.
Purchasing SOL is the next step. This step is for people who don’t have the Solana in their wallet. If you do, you can proceed to the next step. You can choose to buy your asset from any exchange of your choice. You also need to copy your address correctly to make sure the coins will go to your wallet. If there are any mistakes, you risk losing the assets forever. The $30 purchase from Solana should be enough to buy your domain, provided no one is bidding against you.
The next step is to connect your wallet to Bonfida and choose your preferred domain name. Connecting your wallet may require you to rewrite your password. After which, you can continue the process. In this part, you have to choose your name. However, if someone else has already purchased it, you may need to choose a different name. Likewise, your favorite domain can be auctioned off. Here, the name has not yet been given, and would the network give the highest bidder.
To get your domain, you must place the highest bid. You may also be competing with other interested bidders for that name. The final option is when your name is available and has not been auctioned. Before the platform sells names, they go through an auction for three days. During this period, others can bid on them and get them if they are the highest bidder. On the other hand, if no one bids, you will be given your domain name, and this transaction will be recorded on the blockchain.
Exchanging your Solana for $FIDA and bidding is the next process. It is safe to mention that $FIDA is the platform token and is required for bidding. You can simply trade Solana for FIDA by connecting it to an exchange and then trading. Now you need to place a bid. Placing a bid requires you to spend a few FIDA$. Since the platform does not notify you of new bidders, you may need to check it yourself. If there is no higher bid than yours, you can claim your domain name after the required days. Claiming means you become the owner of the domain, which will appear on the blockchain.
What can you do with a .SOL domain?
There are two main things you can do when buying your name. First, you can collect domains. If you like collecting things or want to buy them for future use, this is for you. The domain name will remain yours until you decide to put it up for auction. You can also decide to sell your domain. This allows you to monetize the domains you have purchased. So people interested in the domain can bid for it.
Should you buy a domain?
The blockchain industry takes a daily interest in web3. Web3 is an enhanced website, where users don’t need to rely on big tech companies. It will be decentralized and private. Because of this prospect, it makes sense to buy a decentralized domain name and be part of the movement. However, it would be helpful if you did your research before buying a domain name.
The digital asset space is always welcoming new ideas and inventions. Creating your domain name can also help link your wallet address, helping you reduce the problems associated with copying it for transfers. In a way, it can help with adoption.
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