Namecoin is a “peer-to-peer naming system based on Bitcoin.” It is a token for a blockchain that was originally forked from the Bitcoin blockchain. A fork is a change in the blockchain that makes a new branch incompatible with the original branch.
The coin was developed as a blockchain and token for a decentralized domain name system (DNS). An experimental open source technology that enhances the decentralization, security, censorship resistance, privacy, and speed of certain components of the Internet infrastructure such as DNS and identity.
DNS is a mechanism that associates domain identities with worldwide numeric IP addresses. This decentralization of the system is meant to end Internet censorship and improve Internet-related security and privacy.
Namecoin’s creators describe it as “an experimental open source technology that improves the decentralization, security, censorship resistance, privacy, and speed of certain components of the internet infrastructure such as DNS and identity.”
Apart from being a digital asset, this coin has a real function in the IT world, namely to manage data transfer information and act as a Domain Name System for .bit domains. Easily this coin can be considered a peer-to-peer version of ICANN.
The domain name will be registered for a fee of only 0.01. Namecoins and owner data will be stored on the blockchain. A new transaction will occur when the domain is transferred to another user. Apart from this function, Namecoin has the exact same functionality as Bitcoin.
Namecoin is an Altcoin
The crypto asset community definition of an altcoin is one that is not Bitcoin. Some include Ethereum, so Namecoin is an altcoin.
What can Namecoins be used for?
- Protect the right to free speech online by making the web more resistant to censorship.
- Attach identifying information such as GPG and OTR keys as well as email addresses, Bitcoin, and Bitmessage to your preferred identity.
- Tor domain .onion which means human.
- Decentralized TLS (HTTPS) certificate validation, backed by blockchain consensus.
- Access the website using a .bit top level domain.