Ethereum name service plans layer-2 migration to reduce gas fees, increase speed

Ethereum Name Service (ENS) is planning a significant upgrade by moving to a layer-2 network to reduce gas fees and increase transaction speed.

This proposed version of ENSv2 seeks to improve scalability and functionality from the Ethereum mainnet.

ENS Labs, the organization behind the open source blockchain naming protocol, officially presented ENSv2 on May 28. The update is intended to introduce new features and transfer the main function of ENS to the layer-2 network.

According to Nick Johnson, founder and lead developer of ENS Labs, ENSv2 brings a new registry system for managing .eth domain names. Johnson explained:

“ENSv2 introduces a hierarchical registry system for .eth name management. Name holders can access a unique name registry where they can manage subdomains and configure searchers.

Johnson also said that name owners can customize the management of their name. This includes selecting expiration and transfer rules.

It also aims to transfer the protocol from the Ethereum mainnet to the Layer-2 network. This aims to improve the expansion of ENS, reduce gas charges and increase the speed of transactions. According to ENS Labs, this approach benefits both users and developers.

Asked what the community might lose if the protocol doesn't migrate, ENS Group users can't enjoy lower gas and faster speeds for .eth name registration renewal and management.

Related: Community divide over ENS petition over domain patents

The ENS team also claims that Layer-2 payments are 100 times cheaper than Ethereum's mainnet. Eskandir Abebe, head of product and strategy at ENS Labs, said that the overall change will provide a better user experience. Abebe said.

“The release of the EIP4844 made Ethereum-based layer-2 networks extremely affordable and scalable, which was a big driver for the ENS idea.”

The executive said this is ENS's attempt to track improvements in the wider Web3 space. “As Web3 continues to revolutionize, so will ENS, and we want to make sure we're providing a product with the best possible user experience,” Abebe added.

In addition to these, the ENS team told Cointelegraph that network congestion is the main challenge to stay on the network. This will impact user transactions, the team explained.

Finally, they believe that .eth names should be easily accessible to global users, and providing a good experience can be “unreachable” with the current situation on the Ethereum mainnet.

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