You’re paying the registrar or reseller (like godaddy or domain.com) to register the domain name you want to use with the registry, a database of domain names maintained by registry operators.
These registry operators must all agree on one version of the registry so that there are no conflicts.
I’m order to do that, they all comply with rules and practices from the Internet Corporation for Assigned Names and Numbers, or ICANN. An international nonprofit that manages the whole domain name system.
Visual aid: https://whois.icann.org/sites/default/files/ICAN-Infographic—Registry-Process-Large-FINAL-GIF.gif
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