How exactly is Ethereum networking, ENS etc. prone to bitsquatting?

Bitsquatting is a form of cybersquatting that relies on bit-flip errors that occur during the process of making a DNS request. These bit-flips may occur due to factors such as faulty hardware or cosmic rays. When such an error occurs, the user requesting the domain may be directed to a website registered under a domain name similar to a legitimate domain, except with one bit flipped in their respective binary representations. Source: Bitsquatting - Wikipedia