Let's say you want to send your friend 1 LZ. Normally, you must ask for their wallet address (0x0000…), and then you can transfer to that address. Unfortunately, the address is difficult to remember.
To simplify the process, you can use a domain name. Your friend can register layerzero.lz, and configure layerzero.lz to resolve to their wallet address. Then, you can transfer them funds knowing only their domain name.
What is Reverse Resolution?
Reverse Resolution is the process of taking a piece of data like a wallet address (0x0000…) and finding the related .lz domain.
For example, if you are playing a GameFi game, you are likely identified by your wallet address. You can enable reverse resolution to allow users to find your .lz domain using your wallet address. With your .lz domain, the game can pull more information such as an avatar.