Exploring the market impact of Web3 identity imitation in Ethereum Name Service

• Main Authors: KE, Ping Fan, LAU, Yi Meng
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2024
• Subjects: digital identity; Web3; domain name; Ethereum Name Service; cybersquatting; Databases and Information Systems
• Online Access: https://ink.library.smu.edu.sg/sis_research/9217; https://ink.library.smu.edu.sg/context/sis_research/article/10223/viewcontent/Exploring_the_Market_Impact_of_Web3_Identity_Imitation_in_Ethereum_Name_Service.pdf
• Institution: Singapore Management University

Digital identities are paramount in today’s digital landscape. However, in the Web3 ecosystem, the absence of a central governing body leaves digital identities, such as domain names, vulnerable to cybersquatting and identity imitation. This study examines the market impact of identity imitation in the Web3 ecosystem. By scrutinizing trading activities within Web3 domain names from Ethereum Name Service (ENS) and its imitator, "Ether Name Service," we found that the presence of a newly imitating domain name increases the subsequent resale value of the authentic domain name. Additionally, we find a positive correlation between the resale value of the imitating domain name and the authentic domain name. These findings highlight the complex interplay between trust, reputation, and popularity in the Web3 domain name market and yield valuable insights for stakeholders grappling with digital identity challenges amid the Web3 era.