you point an ENS name to an address (a public key hash). in a system built on private/public keys, it can be useful as an alias. the “IP”, or address in this case, is my own, because it is directly generated from a 24 word seed phrase.
this naming system has value for myself and the millions of other users interacting within the network.
But unless you have a completely independent physical layer, that network and alias is only reachable via an IP you rent or buy from the normal Systems. So what's the added value once you have that IP pointing somewhere? Like, if everything you can do with the ENS depends on an IP, which can do the same things as an IP, what's the use case? You are already dependent on the system, without an avenue out, what's the advantage of using an ENS vs something in the system?
Because, if you use it to point to an IP, who's giving you that IP?
An asset has value, just because you call it an asset doesn't make it one.