ENS is a good example of a working concept of blockchain domains and is the only type of NFT that cannot be 'right-click saved', unlike the JPEG ones.
However, Coinbase (part of the 7 admin keyholders of ENS) had a closer look at .eth addresses and their use in their wallet and decided to remove support for it and instead use .id for their Coinbase wallet. [0]
Why did they do this? It turns out that:
"New crypto users with no previous exposure to ENS would make the false assumption that the ".eth” domain only works" for sending and receiving $ETH."
I guess it really does make sense to anchor both .eth, .id, etc on Handshake [1] after all. The concept of ENS is fine for .eth, but it doesn't seem to be enough to prevent this sort of basic confusion.
There's also the matter that ENS "solves" the problem by reintroducing a central point of failure: the smart contract itself. Anything blockchain-adjacent really can't conceivably be called "decentralized".
Note that ENS is not only ETH, it supports multiple coins, and it's also compatible with the legacy DNS namespace, so it's possible to import & use tlds such as .com