Understanding DNS, Onchain & Web3 Domains
May 07, 2025·Last updated on May 07, 2025Share this article:
As the internet continues to evolve, so do the tools we use to navigate it. Now, domains are no longer just static website addresses; they’re becoming dynamic, multi-functional digital identities. By placing domains onchain, we unlock new possibilities that bridge traditional DNS domain functionality (Web2) with new onchain domain benefits (Web3). But what exactly is the difference between a DNS domain, an onchain domain, and a Web3 domain? Let’s break it down.
DNS Domains: The Web2 Standard
DNS domains are the traditional domains you’re likely familiar with, such as .com, .net, and .org. They have served as the foundation of the internet for decades. However, their functionality is limited compared to the innovations in onchain domains.
Key Features of DNS Domains:
- Limited functionality: Primarily used for hosting websites.
- Rented, not owned: Users pay ongoing renewal fees, as DNS domains are essentially leased, not permanently owned.
- Not compatible with onchain systems: These domains operate solely within the traditional Web2 framework.
While DNS domains are reliable and widely used, their capabilities remain constrained to Web2 applications. At Unstoppable, however, DNS domains are placed onchain by default, enabling onchain functionality in addition to their existing DNS/Web2 functionality. This enhances their utility by bridging Web2 and Web3 systems seamlessly.
Onchain Domains: Unlocking New Potential
Onchain domains represent a major leap forward in domain technology, offering enhanced functionality and user control by leveraging blockchain technology. At Unstoppable, our onchain domains can be native web3 domains (like .x, .crypto), or native DNS domains (like .com, .org). Here’s how they differ:
Web3 Domains: The Future of Ownership
Web3 domains natively exist on the blockchain, making them onchain from conception. Designed to meet the needs of the onchain internet, these domains are ideal for users who want complete ownership, control, and utility beyond the traditional Web2 space.
Key Features of Web3 Domains:
- Exclusively onchain: Operates entirely using onchain technology.
- No renewal fees: Once purchased, you own your Web3 domain for life.
- Multi-functional:
- Use as an all-in-one payment address for crypto transactions.
- Serve a single username to login, chat, and more.
- Create permanent, onchain websites with no required hosting fees.
Web3 domains redefine ownership and expand possibilities with innovative new onchain features, the ability to facilitate crypto payments, and redefine your personal or professional branding with self-sovereign digital identity.
Onchain DNS Domains: The Best of Both Worlds
We also place DNS domains onchain through Tokenization, combining the traditional functionality of DNS domains with the added benefits of Web3 domains. These hybrid domains are able to exist in their existing (offchain) form, but also have a digital twin that exists onchain allowing expanded utility and functionality.
Key Features of Onchain DNS Domains:
- Dual functionality: Retain all traditional DNS features while gaining Web3 capabilities.
- Onchain integration: Enables seamless crypto payments, digital identity, and access to the onchain ecosystem of applications.
- Streamlined trading: Advanced portfolio tools enable bulk management, custom landers, seller storefronts, and instant trades through the Unstoppable Marketplace - all with low 3% commission fees and no transfer delays or extra costs.
- Renewal fees apply: Unlike Web3 domains, onchain DNS domains still require renewal payments to maintain ownership of the underlying domain.
At Unstoppable, all DNS domains are placed onchain by default, allowing them to retain their Web2 capabilities while unlocking the benefits of blockchain technology. This dual functionality makes them a powerful tool for users who need versatility in both traditional and onchain spaces.
Get Ahead of the Future Onchain
Onchain domains represent the next evolution in digital identity. We're looking forward to the upcoming ICANN gTLD application round in 2026, where we aim to enhance our Web3 domains with DNS capabilities. Our mission isn't just about bringing onchain functionality to DNS domains, we're also aiming to integrate DNS functionality into our Web3 domains. If you're looking for a domain that goes above and beyond a normal domain, you can't make a wrong choice!
At Unstoppable, we’re here to help you navigate the evolving internet and unlock the full potential of your digital presence. Explore our selection of domains today and take the first step toward shaping your online future.