In principle it's less offensive than the "tulip mania" enthusiasm most people share, but it still suffers for the same reasons. Additionally, people simply might not care enough to register with NFTs - lord knows I don't care enough, and I'm one of the few people capable of doing it. But I'm not worried about getting my domain revoked so... what's the point? To spend money on a vanity label that a grand total of maybe 4 people will ever use?
ENS will inevitably butt up against the cryptocurrency problem of having few legitimate use cases and even fewer legitimate users. Outside the e/acc Twitter circles and lolcow online harassment forums, the demand for such an "uncensorable internet" is almost nonexistent.
What if you were worried about getting your domain revoked? What would you do in that case? What if your domain was your livelihood?
I think your claim about low demand could be taken more seriously even as recently as ten years ago but when you include "social media handle" in with "domain" then getting your online identity revoked is an every day occurrence and has been for years for a huge number of people who were not extremists or trolls. Later to be revealed by internal documents to be guided by the hand of the US government under false pretenses.
So it's not just extremists and trolls but also, every day people with opinions the government doesn't like who are getting their accounts and content taken away.
ENS will inevitably butt up against the cryptocurrency problem of having few legitimate use cases and even fewer legitimate users. Outside the e/acc Twitter circles and lolcow online harassment forums, the demand for such an "uncensorable internet" is almost nonexistent.