Guides & Education

Web3 Usernames: ENS, SNS, and the Future of Decentralized Identity in 2025

Learn how ENS and SNS Web3 usernames revolutionize decentralized identity in 2025, simplifying DeFi, NFTs, and DAOs with secure, user-owned names.

Introduction

As Web3 becomes more mainstream, the need for user-friendly, secure, and portable digital identities is growing fast. In this evolving ecosystem, Web3 usernames—powered by decentralized naming services like Ethereum Name Service (ENS) and Solana Name Service (SNS)—are replacing cryptic wallet addresses with human-readable names like alice.eth or bob.sns.

These decentralized identity systems simplify interactions across DeFi, NFTs, DAOs, and social platforms. By 2025, they are not only enhancing user experience but also laying the foundation for privacy-preserving, interoperable, and user-owned digital identities. This article explores how ENS and SNS work, their real-world use cases, and the broader future of decentralized identity.

What Are Web3 Usernames?

Web3 usernames are blockchain-based, human-readable identifiers (e.g., vitalik.eth, maria.sns) that map directly to a user’s wallet address or other on-chain data. They replace complex alphanumeric strings like 0xA8f2… with names that are memorable, transferable, and interoperable across decentralized applications.

Key Features

  • Human-Readable: Simplifies interactions by replacing 42-character addresses.
  • User-Owned: Fully controlled by the user via private keys—no centralized authority involved.
  • Multifunctional: Serve as wallet identifiers, profile names, website domains, and even governance tools.
  • Cross-Platform: Work across supported dApps, blockchains, and Web3 services.

Leading protocols include ENS (Ethereum) and SNS (Solana), alongside emerging players like Unstoppable Domains, ZNS Connect, and Namechain.

Ethereum Name Service (ENS)

Overview

Launched in 2017 under the Ethereum Foundation, ENS is the most established Web3 naming protocol. With over 3.5 million .eth domains registered by 2025, it has become the de facto identity layer across Ethereum and its Layer-2 networks.

How ENS Works

  • Registration: Users lease .eth names (e.g., alice.eth) through ens.domains, paying in ETH and gas fees.
  • Smart Mapping: Domains are linked to wallet addresses, IPFS websites, avatars, and social handles.
  • Subdomains: Users can create subnames like shop.alice.eth for branding or delegated access.
  • Reverse Resolution: Wallets and dApps can display the ENS name instead of raw addresses.

Features in 2025

  • Primary Name System: Default display across dApps for trust and identity.
  • Name Wrapper: Facilitates subdomain management and custom use cases (e.g., jane.dcl.eth in Decentraland).
  • Sign-In With Ethereum (SIWE): Enables Web3-native login systems that replace email/password logins.
  • Layer-2 Compatibility: Works on Arbitrum, Optimism, and zkSync to reduce gas fees.

Use Cases

  • Payments: Send funds to alice.eth instead of long hexadecimal strings.
  • Profiles: Attach social accounts, NFTs, and avatars to a unified Web3 profile.
  • Web Hosting: Host decentralized websites (e.g., vitalik.eth.limo) via IPFS.
  • DAOs: Use subnames to reward contributors or organize roles in decentralized governance.

Solana Name Service (SNS)

Overview

Built by Bonfida, SNS provides naming functionality within the Solana ecosystem. It enables domain-like identifiers (bob.sns) that integrate with Solana wallets and dApps, benefitting from low fees and fast transactions.

How SNS Works

  • Registration: Users acquire .sns names through Bonfida or partner platforms using SOL.
  • Smart Mapping: Names link to Solana wallets, NFTs, or smart contract functions.
  • Subnames: Create functional aliases like vault.bob.sns.
  • Interoperability: Integrated with Phantom wallet, Serum, and Solana-based games.

Features in 2025

  • Low Fees: Registrations start at ~$0.01–$0.10, ideal for mass adoption.
  • Speed: Near-instant confirmation, suitable for real-time applications.
  • Social Profiles: Used as usernames on Solana-native social apps.
  • Monetized Identity: Domain flipping, referrals, and rewards are common—ZNS Connect alone has paid out over $49K to users.

Use Cases

  • DeFi: Use .sns names for simpler trading on Solana DEXs like Orca.
  • NFT Branding: Tie domain names to PFP collections and metaverse identities.
  • Gaming: Act as in-game usernames in titles built on Solana.

ENS vs. SNS: A 2025 Comparison

FeatureENS (.eth)SNS (.sns)
BlockchainEthereum (L1 + L2 support)Solana
CostHigher (~$5–$50/year + gas)Lower (~$0.01–$0.10)
SpeedSlower on L1, fast on L2sNear-instant
Adoption3.5M+ domains, 400+ integrationsSolana-centric, fast-growing
Use CasesDeFi, DAOs, dApps, web hostingNFTs, games, social, Solana DeFi
InteroperabilityDNS, L2s, .eth.limo, cross-chainSolana-native; cross-chain emerging

While ENS dominates in terms of ecosystem reach and cross-chain integration, SNS stands out for its affordability and performance in Solana’s fast-paced environments.

How Web3 Usernames Are Shaping Decentralized Identity in 2025

  1. Simplifying User Experience

Web3 usernames eliminate friction for new users and reduce costly errors in crypto transactions. Major platforms like Coinbase are offering free subnames (e.g., john.cb.id) to onboard users into the ENS ecosystem.

By 2025, over half of dApps support ENS or SNS-based usernames as a standard.

  1. Enhancing Privacy and Security
  • Self-Sovereign Identity (SSI): Users own and manage their data, not third-party platforms.
  • Blockchain Security: ENS/SNS are censorship-resistant and secure from domain hijacking.
  • Zero-Knowledge Proofs: Used to prove traits (e.g., age, KYC status) without disclosing sensitive data—enabled by tools like Polygon ID.
  1. Enabling Interoperability
  • ENS works across Ethereum, Layer-2s, and even traditional DNS.
  • SNS links deeply into Solana’s DeFi, NFT, and gaming infrastructure.
  • Cross-chain identity bridges are under development to unify ENS, SNS, and newer protocols like ZNS Connect and Namechain.
  • Open standards like W3C DIDs and Verifiable Credentials (VCs) are bringing consistency to identity across chains.
  1. Supporting Web3 Ecosystems
  • DeFi: ENS/SNS names make wallet addresses more accessible and trustable.
  • NFTs: Artists and collectors use domain names to brand collections.
  • DAOs: Assign subnames for contributors or role-based access in governance (e.g., dev.optimism.eth).
  • Social Platforms: Protocols like Lens (Ethereum) and Sophon (Solana) leverage usernames for decentralized social graphs.
  1. Driving Financial Inclusion

Web3 usernames lower entry barriers for non-technical users. Initiatives like SpruceID pair usernames with verifiable credentials to onboard the 1.4 billion unbanked into DeFi, identity systems, and remittances.

  1. Aligning with Regulations

As regulators move toward frameworks like MiCA in the EU, ENS and SNS are integrating verifiable KYC systems that preserve decentralization while ensuring compliance.

The ENS DAO is actively engaging policymakers to bridge the gap between innovation and regulation.

Challenges of Web3 Usernames in 2025

Despite their advantages, Web3 usernames face persistent challenges:

  • Scalability: Ethereum gas fees still limit ENS usability, though Layer-2 adoption helps.
  • Fragmentation: Competing protocols create ecosystem silos—cross-chain standards are still maturing.
  • User Onboarding: Wallet setup, private key management, and domain registration remain confusing to new users.
  • Sybil Resistance: Fake or duplicate identities remain a threat; integrating SBTs and KYC systems helps address this.
  • Regulatory Pressure: Governments may resist systems that are censorship-resistant and pseudonymous by design.

The Future of Decentralized Identity in 2025

Web3 usernames are just the beginning of a broader identity revolution. By the end of 2025, the landscape is shifting toward:

  • Mass Adoption: ENS targets 10M+ users; SNS continues strong growth in Solana.
  • Omnichain Protocols: ZNS Connect and Namechain (ENSv2) unify identities across 25+ chains.
  • AI Integration: AI-driven systems analyze reputation tied to usernames and Soulbound Tokens (SBTs).
  • Metaverse and Gaming: ENS and SNS names serve as persistent avatars across platforms like Decentraland or Solana games.
  • Government Pilots: The EU’s EBSI and India’s blockchain identity initiatives draw directly from ENS-style models.
  • Reputation Systems: SBTs linked to usernames provide portable, provable reputation scores in DAOs and professional networks.

Conclusion

Web3 usernames like ENS and SNS are redefining digital identity in 2025. By offering secure, human-readable, and interoperable naming systems, they are powering the next generation of DeFi, NFTs, DAOs, and metaverse applications. ENS leads in adoption and cross-chain flexibility, while SNS brings speed and affordability to Solana users.

As decentralized identity evolves, the combination of usernames, verifiable credentials, and SBTs will become the backbone of trust in the Web3 world. For developers, users, and organizations, embracing these technologies is no longer optional—it’s foundational.

 

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