ENS Labs to Unveil faster transaction by “Namechain”: A Layer-2 Blockchain Leveraging Zero-Knowledge Rollups
ENS Labs, the company behind the Ethereum Name Service (ENS), is advancing plans to launch its own Layer-2 blockchain network, dubbed “Namechain”. Expected to go live by the end of 2025, Namechain will operate as a zero-knowledge rollup (zk-rollup), a technology designed to enhance scalability and reduce transaction costs by bundling and verifying transactions more efficiently on Ethereum’s main network.
The decision to create a dedicated Layer-2 network for ENS, known as ENSv2, marks a pivotal shift in the ENS ecosystem. ENS Labs’ Chief Operating Officer Katherine Wu that Namechain will take advantage of an existing zero-knowledge chain compatible with the Ethereum Virtual Machine (EVM).
The team is finalizing its choice of zkEVM technology, which will serve as the underlying infrastructure of Namechain. This compatibility is essential for maintaining seamless integration with the existing Ethereum network while offering an efficient alternative for ENS users.
The Role of Zero-Knowledge Rollups in Scaling ENS
Zero-knowledge rollups represent one of the most promising solutions for scaling Ethereum. They allow transactions to be processed off-chain and only require compressed data to be published on Ethereum, maintaining the network’s security while lowering costs.
ENS Labs’ press release highlights how Namechain will leverage these rollups, inheriting the security of Ethereum while significantly reducing transaction fees, a notable benefit for users dealing with frequent transactions and high gas fees.
The ENS service, akin to the web’s Domain Name System (DNS), allows blockchain users to register human-readable names like “Vitalik.eth” instead of complex hexadecimal wallet addresses. This makes crypto transactions more accessible and user-friendly.
Vitalik Buterin, Ethereum’s co-founder, famously uses “Vitalik.eth” as his public Ethereum address, providing a straightforward example of the utility ENS offers.
ENSv2: Re-Architecting the Protocol for Layer-2
The decision to evolve ENS into a Layer-2 solution stems from a proposal ENS Labs introduced earlier this year, signaling a commitment to reducing the costs and increasing the efficiency of the ENS system. ENSv2 will not only bring Namechain to life but also entail a complete overhaul of the existing ENS registry system.
ENS Labs plans to make this migration seamless for current users, prioritizing backward compatibility with the existing ENS setup on Ethereum’s mainnet. In practice, this means that for most users, the transition should be invisible: they will enjoy lower fees without any noticeable differences in user experience or functionality.
According to Wu, this backward compatibility is critical to ensure that the current ENSv1 architecture smoothly transitions to ENSv2 without disrupting user interactions. From day one, Namechain will retain all existing functionalities while adding new benefits for users, such as improved transaction speeds and reduced costs.
The Rise of Layer-2 Rollups Across the Industry
ENS’s decision to adopt a zk-rollup structure aligns with a broader trend in the blockchain industry, where many leading crypto projects are venturing into Layer-2 solutions to improve scalability. Recently, major players such as Uni swap, Kraken, and Sony Blockchain Labs have announced their own Layer-2 projects.
Despite different approaches to scaling, the adoption of Layer-2 solutions highlights a shared commitment across the blockchain industry to provide faster and more affordable user experiences, especially as adoption of decentralized applications (dApps) continues to grow.
Namechain’s Promising Future
ENS Labs’ co-founder and lead developer, Nick Johnson, expressed optimism about Namechain’s potential impact on the ecosystem, stating that the new network will bring substantial improvements to scalability and transaction costs. Johnson emphasized that Namechain represents the next phase in ENS’s evolution and is expected to create opportunities for new applications that were previously limited by Ethereum’s congestion and high gas fees.
With its robust technical foundation and alignment with Ethereum’s security, Namechain is poised to enhance the usability of ENS and open doors for innovative applications. For ENS users, the introduction of Namechain promises a smoother, faster, and more affordable experience, further advancing ENS’s mission of making the Ethereum ecosystem more accessible.
As 2025 approaches, all eyes will be on ENS Labs as it works to finalize the technical details and bring this ambitious Layer-2 vision to fruition.