You can now make your own web3 username on Coinbase. This username will serve as the public key address for your Coinbase Wallet.
Web3 usernames like ENS offer a decentralized way to identify yourself that is easier to read and use. By using a Web3 username, your wallet address may be easier for others to find, remember, and send money to (for instance, by using “alice.eth” instead than “0x7ec..”).
The Ethereum Name Service (ENS) is a distributed, open, and expandable name system that is built on the Ethereum blockchain. ENS’s job is to change names that humans can read, like “alice.eth,” into names that computers can read, like Ethereum addresses, addresses for other cryptocurrencies, content hashes, and metadata.
Think about how DNS maps a URL (like www.coinbase.com) to an IP address. ENS does the same thing for cryptographic data. Even though it is built on Ethereum, ENS can be used to watch your wallet on networks that aren’t Ethereum. Read more about ENS by clicking here.
You can sign up for your own ENS name at https://ens.domains. Be aware that this process will cost you money for registration and gas.
Coinbase’s username is a web3 username, which is a type of ENS domain built with ENS technology.
At the moment, it would cost a lot of gas to buy an ENS name on the Ethereum blockchain (a few hundred to thousands USD). This has limited how crypto-economy IDs can be used in the future and made it harder to make IDs that people can read.
To help with this, ENS and Coinbase worked together to give our customers free Web3 identities that are managed by Coinbase. Coinbase offers free subdomains as an alternative for people who don’t want to pay the huge gas fee after buying top level domains on ENS.
In contrast to Coinbase’s web3 usernames, which are similar but end in “.cb.id,” ENS domain names have names that can be read by humans and end in “.eth.”
ENS can read files in both the .id and .eth formats. The crypto community has accepted “.eth,” which is a better domain extension for the ENS system.
Our user study shows that new crypto users who don’t know about ENS will think that the “.eth” domain can only be used to send or receive Etherum. Because of this, we chose to start with “.id” for the first adoption.
Coinbase plans to offer subdomains with .eth extension in the near future.