Ethereum Name Service (ENS) ($ENS) Proposes Layer 2 Migration to Slash Gas Fees

• The Ethereum Name Service (ENS) has proposed a significant upgrade to migrate its protocol to Layer 2, aiming to reduce gas fees and enhance transaction speeds.
• This proposed ENSv2 upgrade will involve a comprehensive overhaul, including a hierarchical registry to improve the management and customization of .eth domain names.
• “Nameholders will have access to a unique name registry, where they will be able to manage subdomains and configure resolvers,” said Nick Johnson, the lead developer and founder of ENS Labs.

Ethereum Name Service proposes a Layer 2 migration to reduce gas fees and improve transaction speeds, enhancing user experience and scalability.

Ethereum Improvement Proposal (EIP) 4844

EIP4844, commonly known as proto-danksharding, offers a more cost-effective way for Layer 2 rollups to post transaction data to Ethereum. “The release of EIP4844 has made Layer 2 networks based on Ethereum vastly more affordable and scalable, which was a big driving factor for ENS’s proposal,” said Eskender Abebe, head of product and strategy at ENS Labs.

“As Web3 continues to revolutionize, ENS does too, and we want to ensure we are delivering a product that has the best user experience possible,” adds Abebe. If the ENSv2 upgrade proposal is accepted, developers will benefit from increased flexibility provided by the new registry design and other infrastructure deployed as part of the migration. Users will also benefit from reduced transaction fees and increased throughput from hosting their names on an L2, while still having the option to retain the security and availability guarantees of hosting their name on L1 if desired.

How Does the Ethereum Name Service Work?

ENS Labs maps human-readable names like ‘alice.eth’ to machine-readable identifiers such as Ethereum addresses, other cryptocurrency addresses, content hashes, metadata, and more. ENS also supports ‘reverse resolution,’ making it possible to associate metadata such as primary names or interface descriptions with Ethereum addresses.

The ETHRegistrarController is the main controller for the ETH Registrar and provides a straightforward registration and renewal mechanism. When it comes to pricing structure, the ETH Registrar charges a registration fee, paid in ETH, to prevent spamming the registrar. Any protocol fees are sent to the ENS Treasury.

Conclusion

The proposed migration of the Ethereum Name Service to Layer 2 represents a significant step forward in reducing gas fees and improving transaction speeds. By leveraging the advancements of EIP4844, ENS aims to provide a more scalable and user-friendly experience. As Web3 continues to evolve, ENS’s commitment to innovation ensures it remains a pivotal tool in the decentralized ecosystem.