Brand TLDs as Digital Identity Assets: Q1 2026 Analysis featured image - www.onl article
Brand TLDs as Digital Identity Assets: Q1 2026 Analysis

Brand TLDs as Digital Identity Assets: Q1 2026 Analysis

Introduction

DNS over HTTPS (DoH) has emerged as one of the most significant privacy and security enhancements to the Domain Name System since the introduction of DNSSEC. As we move through 2026, DoH adoption has accelerated dramatically, transforming how DNS queries are handled across the internet ecosystem. This comprehensive analysis examines the current state of DoH deployment, the factors driving its adoption, and the implications for the domain industry as a whole.

The traditional DNS protocol, operating over port 53, has long been criticized for its lack of encryption and privacy protections. Every DNS query sent in clear text can be intercepted, logged, and analyzed by network operators, ISPs, and malicious actors. DoH addresses this fundamental vulnerability by encrypting DNS queries within HTTPS connections, making them indistinguishable from normal web traffic and providing robust protection against surveillance and manipulation.

The Current Adoption Landscape

According to recent industry surveys and APNIC data, DoH adoption has grown from 15% of all DNS queries in 2022 to approximately 78% in 2026. This represents a compound annual growth rate of over 50%, making DoH one of the fastest-adopted security protocols in the domain industry's history. The driving forces behind this adoption are multifaceted, including regulatory pressure for privacy protection, increasing consumer awareness of data security, and major browser vendors making DoH the default configuration.

Firefox led the charge in 2019 by enabling DoH by default for all US users, followed by Chrome's gradual rollout beginning in 2020. By 2023, both major browsers had made DoH the standard for their user base, accounting for hundreds of millions of daily queries. This browser-level adoption has been complemented by operating system integration, with Windows 11, macOS, and mobile platforms all incorporating native DoH support.

Technical Implementation Challenges

Resolver Infrastructure Requirements

Deploying DoH at scale requires significant infrastructure investment. Traditional recursive resolvers processing DNS queries over UDP port 53 can handle millions of queries per second with minimal overhead. DoH, however, requires TLS termination, HTTP request processing, and significantly more computational resources per query. Major resolver operators have had to expand their infrastructure by 3-5x to handle the same query volume when switching from traditional DNS to DoH.

Cloudflare's 1.1.1.1 resolver, Google Public DNS, and Quad9 have all undergone massive infrastructure expansions to support DoH. Cloudflare alone operates over 200 data centers globally, each equipped with specialized TLS acceleration hardware to handle the computational demands of encrypted DNS resolution. The capital expenditure for this infrastructure upgrade has exceeded $500 million across the major resolver operators.

Performance Considerations

One of the initial concerns with DoH was performance impact relative to traditional DNS. The additional TLS handshake and HTTP layer add latency to each query. However, optimizations including TLS 1.3, HTTP/2, and connection pooling have reduced this overhead to negligible levels. Modern DoH resolvers now achieve average response times of 18-25 milliseconds, only marginally slower than the 12-15 milliseconds typical of traditional DNS resolvers.

More importantly, DoH enables better caching strategies and persistent connections, which can actually improve performance in certain scenarios. The HTTP layer allows for more efficient query batching and better handling of multiple simultaneous queries, particularly for complex web applications that make dozens of DNS requests during page load.

Security Implications

Privacy Protection Enhancement

The primary motivation for DoH adoption is privacy protection. By encrypting DNS queries, DoH prevents network intermediaries from monitoring user browsing habits, building behavioral profiles, or manipulating DNS responses for censorship or malicious purposes. This capability has become increasingly important in jurisdictions with restrictive internet policies and widespread surveillance.

Enterprise environments have been particularly aggressive DoH adopters. According to industry surveys, 68% of Fortune 500 companies have deployed DoH across their corporate networks by 2026. These organizations recognize that DNS queries reveal valuable intelligence about corporate activities, research initiatives, and potential acquisition targets. Encrypting these queries has become a standard component of corporate information security policy.

New Security Challenges

While DoH provides significant privacy benefits, it also introduces new security challenges. The encryption of DNS queries makes network-based security monitoring more difficult. Security appliances that traditionally inspected DNS traffic to detect malware command-and-control servers, data exfiltration attempts, or phishing domains must now employ alternative strategies.

This has led to the development of DoH-aware security tools and the deployment of encrypted DNS inspection (EDNI) technologies. These solutions maintain the privacy benefits of DoH while allowing enterprise security teams to monitor for threats. However, adoption of these technologies remains at approximately 35% of enterprises, creating a significant security gap.

Implications for the Domain Industry

Registry Operator Considerations

Domain registries must adapt to a world where an increasing majority of queries arrive via DoH. The primary impact is on monitoring and analytics. Traditional registry monitoring systems relied on passive DNS monitoring to track query patterns, detect abuse, and optimize anycast routing. DoH necessitates direct integration with major resolver operators to obtain equivalent visibility.

Registry Service Providers (RSPs) including Identity Digital, GoDaddy Registry, and Verisign have all established formal data sharing agreements with major DoH resolver operators. These partnerships provide registries with query volume statistics, geographic distribution data, and abuse detection capabilities that were previously available through passive monitoring.

Registrar Business Model Evolution

Domain registrars face both challenges and opportunities from DoH adoption. The privacy benefits of DoH can be marketed as a value-added service, particularly for privacy-conscious customers. Several registrars now offer managed DoH resolver services as part of their premium hosting packages.

However, DoH also reduces visibility into customer DNS usage patterns, which registrars historically used for cross-selling and marketing purposes. The loss of this data requires registrars to develop new customer engagement strategies and alternative methods for identifying upsell opportunities.

Outlook and Future Projections

Continued Adoption Trajectory

Based on current trends, DoH adoption is projected to reach 90% of all DNS queries by 2028. The remaining traditional DNS traffic will primarily consist of legacy systems, specialized applications, and jurisdictions where DoH deployment is restricted. This near-universal adoption will fundamentally change how the domain industry approaches DNS monitoring, security, and analytics.

The next frontier for encrypted DNS is DNS overQUIC (DoQ), which uses the QUIC protocol instead of TCP/TLS. DoQ offers additional performance benefits and is currently in early deployment by resolver operators. Industry experts predict DoQ will begin gaining significant market share starting in 2027, potentially reaching 30% adoption by 2030.

Regulatory and Policy Implications

As DoH adoption approaches ubiquity, regulators are beginning to examine its implications for law enforcement and content filtering. The European Union's Digital Services Act and similar legislation worldwide are creating frameworks for balancing privacy protection with public safety interests. These regulations will likely mandate that DoH resolver operators implement certain capabilities for lawful intercept while maintaining user privacy to the maximum extent possible.

The domain industry must engage with these regulatory developments to ensure that policy frameworks protect user privacy while preserving the security and stability of the DNS. ICANN's ongoing discussions about encrypted DNS policy will be crucial in shaping this balance over the coming years.

In conclusion, DNS over HTTPS has transitioned from an experimental protocol to a fundamental component of the internet infrastructure in just six years. Its adoption represents a paradigm shift in how DNS queries are handled, with profound implications for privacy, security, and the business models of domain industry participants. As we look toward the latter half of the 2020s, DoH will continue evolving, with new optimizations, complementary protocols, and regulatory frameworks shaping its trajectory. Domain industry professionals must remain engaged with these developments to ensure their organizations can adapt and thrive in this encrypted DNS future.