The Ethereum Name Service (ENS), the widely recognized protocol that allows users to create human-readable identifiers ending in .eth—like vitalik.eth—has unveiled an ambitious new chapter. At Devcon in Bangkok, ENS announced plans to launch its own Layer 2 blockchain, named Namechain, marking a pivotal step toward scalable, accessible, and user-friendly decentralized identity on Ethereum.
This move aligns with the growing trend of “one application, one chain,” where major protocols build dedicated blockchains tailored to their specific use cases. With Namechain, ENS aims to enhance performance, drastically reduce costs, and maintain compatibility with existing .eth domains—all while staying deeply integrated with Ethereum’s security and ecosystem.
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Why ENS Is Building Its Own Layer 2
ENS has long served as a foundational piece of Ethereum’s user experience, replacing complex wallet addresses with memorable names. However, as adoption grows, so do challenges around gas fees and transaction speed on Ethereum’s mainnet.
To address this, ENS Labs revealed that Namechain will be a zkEVM-based Layer 2, leveraging zero-knowledge rollup technology to bundle transactions off-chain and post proofs to Ethereum. Unlike other app-specific chains such as Unichain—which use the OP Stack and optimistic rollups—Namechain takes a different technical path by embracing zk-rollups for faster finality and stronger security guarantees.
This strategic decision positions ENS not just as a naming service but as a full-stack infrastructure player within the Ethereum ecosystem.
Key Benefits of Namechain:
- 99% reduction in user fees for registering, renewing, or managing
.ethdomains - Seamless developer experience using familiar EVM tools
- Native support for ENS’s core functionalities
- Enhanced scalability without sacrificing decentralization
By moving core operations to a dedicated Layer 2, ENS can offer near-instant transactions at minimal cost—making it feasible for millions of new users to adopt blockchain identities without friction.
Compatibility Across Chains: One Identity, Multiple Layers
A critical aspect of Namechain’s design is cross-layer compatibility. Once deployed, .eth domains registered on Ethereum’s mainnet will work seamlessly on Namechain—and vice versa. This interoperability ensures that early adopters retain full control over their digital identities while benefiting from improved performance on Layer 2.
For developers building dApps, wallets, or identity tools, this means they can continue using ENS as a unified namespace across both layers. Whether a user interacts via mainnet or Namechain, their identity remains consistent, portable, and secure.
ENS Labs has set a target to deploy the Namechain mainnet by the end of 2025, giving teams time to prepare tooling, integrations, and governance frameworks.
Can Lower Costs Drive Mass Adoption?
The promise of 99% lower costs is more than just a marketing highlight—it’s a potential catalyst for exponential growth. Today, registering or renewing a domain on ENS involves paying gas fees denominated in ETH, which can be prohibitive during network congestion. High costs act as a barrier to entry, especially for casual users or those in emerging markets.
With Namechain, ENS removes this friction. Imagine registering a .eth name for pennies instead of dollars—this kind of accessibility could open the door to hundreds of millions of new users, including those exploring Web3 for the first time.
But challenges remain. The current landscape includes over 117 Layer 2 and Layer 3 networks, raising concerns about liquidity fragmentation and user experience fragmentation. While projects like Unichain join the OP Stack-powered Superchain to benefit from shared security and cross-chain communication, Namechain carves its own path.
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This independence reflects confidence in ENS’s established position: with over 2 million registered domains and integrations across major wallets and dApps, ENS already operates at scale. Building a custom chain allows the team to optimize specifically for identity management rather than conforming to general-purpose frameworks.
How Namechain Fits Into the Vision of an "Ethereum Federation"
The idea of an “Ethereum Federation” has gained traction recently—a decentralized network of specialized chains (appchains) that share security, values, and interoperability while serving distinct purposes. Think of it as a constellation of purpose-built blockchains orbiting Ethereum as the central hub.
In this model:
- Optimism powers scalable smart contracts
- Starknet enables high-throughput ZK applications
- Arbitrum Orbit chains host enterprise-grade dApps
- And now, Namechain becomes the sovereign identity layer
Each chain serves a unique function but contributes to a cohesive, composable ecosystem rooted in Ethereum. By launching Namechain, ENS isn’t leaving Ethereum—it’s strengthening it.
This approach also future-proofs ENS against congestion and centralization risks. As demand for digital identities grows—driven by decentralized social networks, AI agents, and self-sovereign identity systems—having a dedicated infrastructure layer ensures reliability and long-term sustainability.
Frequently Asked Questions (FAQ)
What is Namechain?
Namechain is a zkEVM-based Layer 2 blockchain being developed by ENS Labs to host Ethereum Name Service operations. It aims to reduce costs by up to 99%, improve performance, and maintain compatibility with existing .eth domains.
Will my current .eth domain still work?
Yes. All existing .eth domains on Ethereum’s mainnet will remain fully functional and compatible with Namechain after launch. You won’t need to re-register or migrate your domain.
Why did ENS choose zkEVM instead of OP Stack?
zkEVM offers faster transaction finality and stronger cryptographic security through zero-knowledge proofs. Since ENS prioritizes trust-minimized identity verification, zk-rollups align better with its long-term vision than optimistic rollups.
When will Namechain launch?
ENS Labs targets mainnet deployment by the end of 2025. Testnet releases and developer tooling are expected in the coming months.
Do I need to take any action as an ENS user?
No immediate action is required. The transition will be seamless for most users. However, developers should monitor updates for potential integration changes.
Is Namechain a competitor to other L2s?
Not directly. While it operates as a Layer 2, Namechain is purpose-built for ENS functionality rather than general smart contracts. It complements broader Ethereum scaling efforts by specializing in identity infrastructure.
The Road Ahead for Decentralized Identity
As Web3 evolves beyond speculation into real-world utility, digital identity becomes increasingly important. Who owns your online persona? How do you prove authenticity across platforms? ENS has positioned itself at the forefront of answering these questions.
With Namechain, ENS isn’t just scaling—it’s redefining what’s possible for decentralized identity systems. By combining ultra-low costs, Ethereum-level security, and seamless usability, it lays the groundwork for a future where every person, device, or AI agent can have a persistent, self-owned identity on-chain.
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As part of ENS V2’s broader roadmap, Namechain represents more than technical evolution—it’s a philosophical commitment to user empowerment, accessibility, and long-term decentralization.
Core Keywords:
Ethereum Name Service (ENS), Namechain, Layer 2 blockchain, zkEVM, decentralized identity, .eth domains, blockchain scalability, zero-knowledge rollups
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