ENS has decided to forego launching a layer-2 as part of its ENSv2 upgrade, instead choosing to launch directly on Ethereum due to a 99% reduction in registration gas costs over the past year. Ethereum’s recent Fusaka upgrade raised the gas limit to 60 million, with plans to target 200 million in 2026.

Initially planning an L2 Namechain, ENS has shifted focus to building directly on L1 due to Ethereum’s unexpected scalability improvements. The project will continue to enhance performance and utility through ENSv2, emphasizing interoperability with L2s for easier crosschain transactions.

The decision to stay on L1 doesn’t rule out L2s entirely, as ENSv2’s architecture allows for flexibility and interoperability with L2 names. The project aims to streamline registration flow and improve ownership models, ensuring seamless integration with layer-2 solutions for users.

Read more at Coin Telegraph: ENS Abandons Its planned Namechain L2, Citing Drastically Lower Gas Costs