The ENS community is considering a $300,000 settlement with Manifold in the eth.link domain dispute.
ENS Labs, which developed the Ethereum Name Service, has received a settlement offer from Manifold Finance in its legal battle over the eth.link domain name. The dispute, which began in August 2022, involved several parties, including domain registrars along with Manifold Finance.
According to ENS founder Nick Johnson, Manifold Finance offered ENS Labs a settlement seeking $300,000 along with a “non-disclosure and non-disparagement agreement.” The transaction resolves a dispute that arose due to legal complexities as the eth.link domain was transferred and sold from control (original owner) of ENS Labs.
Eth.link served as an important web gateway for the Ethereum community, facilitating access to the ENS name through web browsers and supporting major DeFi projects. It was assigned to ENS Labs by its original owner, Virgil Griffith. However, after failing to renew the domain and subsequently selling it to GoDaddy, the domain was auctioned from Dynadot to Manifold Finance.
The case has come a long way following a preliminary injunction issued by a federal district court in Phoenix, Arizona, ordering the domain to be returned to ENS Labs.
“We got a preliminary injunction last year, but that alone did not resolve the case. We were able to keep the name while the issue was resolved.” Johnson told The Block. “To resolve the case, you either have to reach an agreement with all parties or take it to court.”
DAO Participation
ENS Labs is currently deliberating on the forum how to proceed, with the decentralized autonomous organization considering options including approving the settlement, negotiating a compromise, continuing litigation, dismissing the case, and potentially losing control of eth.link. The organization also proposed a vote on reimbursing $750,000 in legal fees from DAO funds.
Manifold did not immediately respond to The Block’s request for comment.
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