Ethereum’s ENS to Get Major Upgrade with New Layer-2 Network

What is Namechain?

Namechain will utilize zero-knowledge rollups (zk-rollups), a cutting-edge blockchain scaling technology designed to accelerate transactions and significantly reduce fees. ENS Labs, the company behind ENS, emphasizes that this development will maintain the security features of Ethereum while lowering costs and improving overall efficiency for users.

Enhancing Security with Zero-Knowledge Rollups

The implementation of zk-rollups in Namechain will efficiently process transactions on the Ethereum network by compressing published data on-chain. This approach helps reduce transaction costs for users and alleviates congestion on the Ethereum blockchain. According to Katherine Wu, Chief Operating Officer at ENS Labs, Namechain will leverage the infrastructure of an existing Ethereum-compatible zkEVM (zero-knowledge Ethereum Virtual Machine). This ensures full integration with Ethereum’s decentralized ecosystem.

ENS Labs is currently finalizing its choice of zkEVM provider to guarantee smooth compatibility and optimal performance. Acknowledging the complexities associated with zkEVM development, the ENS team is building on established platforms to expedite development while ensuring robustness and compatibility with the ENS framework.

ENSv2: A Complete Protocol Overhaul

In conjunction with the Namechain launch, ENS Labs plans to roll out ENSv2, a comprehensive rewrite of the existing ENS protocol on Ethereum’s main network. This update will involve a complete reconstruction of the protocol’s registry system and will be distributed across layer 2 for enhanced efficiency.

• Backward compatibility with the current ENSv1 setup to ensure a smooth transition for existing users.
• Reduced transaction costs for accessing ENS services on Namechain.
• Commitment to user experience and technical stability during the transition.

ENS’s Response to Industry Trends

This shift to layer 2 aligns with industry trends, as many prominent organizations are launching their own layer-2 networks. Notable firms such as Kraken, Sony’s Blockchain Labs, and Uniswap have recently confirmed their layer-2 blockchain initiatives. However, unlike these companies, which are adopting Optimism’s OP Stack technology, ENS Labs is focusing on zk-rollups.

Boosting Usability and Reach with Namechain

The introduction of Namechain represents a strategic move to scale blockchain identity solutions that traditional domain name services cannot offer. The Ethereum Name Service allows users to obtain human-readable names for their Ethereum addresses, making cryptocurrency transactions easier and more intuitive.

By reducing costs and enhancing usability, Namechain aims to attract more users to blockchain-based identity systems like ENS. Nick Johnson, co-founder and lead developer at ENS Labs, expressed optimism that Namechain could significantly scale ENS and unlock new applications. The team believes that extending ENS functionality to a layer-2 network will facilitate innovative applications and enhance utility for both developers and end users.

A Paradigm Shift for Blockchain Identity Solutions

This transition to layer 2 captures the industry’s focus on making blockchain technology more user-friendly, faster, and more accessible. ENS Labs is committed to evolving its platform as the protocol matures, striving to overcome the limitations of existing decentralized identity systems.

The launch of Namechain might mark a paradigm shift in blockchain technology and signal a significant advancement for ENS Labs’ decentralized identity solutions. As the project progresses, it is poised to enhance the overall experience for users while contributing to the broader blockchain and Web3 landscape.

Conclusion

With the upcoming launch of Namechain and the rollout of ENSv2, the Ethereum Name Service is set to redefine blockchain identity management. By leveraging zk-rollups and improving efficiency, ENS Labs aims to create a more accessible and cost-effective solution for users. This strategic move positions ENS to play a crucial role in the evolving landscape of decentralized identity systems.