ENSv2 Stays on Ethereum Mainnet, Drops Namechain Plan

• ENS dropped plans for Namechain, its own Layer-2 network, as the ENSv2 upgrade stays on Ethereum L1.
• The ENSv2 will remain fully compatible with Layer-2 networks.

In a significant strategic shift, the Ethereum Name Service (ENS) has announced that its next-generation protocol, ENSv2, will stayon Ethereums Layer-1 mainchain, dropping previous plans of building its own Layer-2 network, Namechain, according to a blog post by ENS co-founder Nick Johnson on February 6.

ENSv2 is the Ethereum Name Services upcoming major upgrade, intended to expand ENS capabilities to a Layer-2 network, providing users with lower fees and faster transactions than the Ethereum mainnet, as well as to provide structural modifications such as hierarchical registries, which give name owners more power and support for numerous chains.

Why ENS Dropped Its Layer-2 Plans

Johnson wrote, “ Ethereum is scaling faster than almost anyone predicted two years ago; we‘ve seen a 99% reduction in ENS registration gas costs over the past year, coinciding with Ethereum’s gas limit increases from 30M to 60M in 2025. By staying on L1, were aligning ENS with the strongest possible infrastructure guarantees, Ethereum itself.”

As Johnson mentioned, ENSv2 will still be released as planned, and halting work on Namechain will not affect the companys broader roadmap. By having everything on one blockchain rather than two, he expects names to load faster and run more smoothly for users. Also, Johnson noted that the majority of the improvements made to make ENS easier to use over the last two years will stay in place.

Further, ENS Labs COO Katherine Wu shared a post via her X handle, “It is important to note that ENSv2 is ultimately an upgrade to ENS as it exists today — its still ENS! Regardless of where it ultimately gets deployed,” and highlighted new features such as individual registries for each ENS name and new apps currently in testing.

Vitalik Backs ENSv2s Ethereum L1 Move

Vitalik Buterin supported the ENS labs decision by saying, “Its a good decision!” As he noted that ENS names and records represent a critical on-chain state for the Ethereum ecosystem, should remain easily accessible from anywhere.

Further, he added, “Its also a semi-financial application, in the sense that buying and holding ENS names has a cost, and ENS names can become very valuable objects. With the expanded scaling roadmap, Ethereum L1 is the ideal place for these applications.”