Ethereum News: ENSv2 Drops Namechain as Ethereum Scaling Shifts the Game (February 2026 Update)

Why Did ENSv2 Abandon Namechain?

The Ethereum Name Service (ENS) has long been a cornerstone of Web3 identity, but its latest upgrade, ENSv2, is ditching Namechain—a Layer 2 solution it once relied on. The reason? Ethereum’s scaling improvements, particularly post-Dencun upgrade, have made Namechain redundant. Gas fees on Ethereum’s mainnet are now competitive with Layer 2s, and developers are prioritizing native ETH scalability over fragmented solutions. “It’s like swapping a bicycle for a Tesla,” quipped a BTCC analyst. “Why juggle chains when one does it better?”

The Math Behind Ethereum’s Scaling Wins

Data from CoinMarketCap shows Ethereum’s average transaction fee dropped to $1.20 in early 2026, down 80% from its 2023 peak. Meanwhile, LAYER 2 adoption has plateaued. TradingView charts reveal that ENS registrations surged by 40% month-over-month after ENSv2’s mainnet integration, suggesting users prefer Ethereum’s streamlined approach. “The calculus changed,” notes Vitalik Buterin in a recent AMA. “Scaling isn’t about adding layers—it’s about refining the base.”

What’s Next for ENS and Ethereum?

ENSv2’s roadmap now focuses on:

• Enhanced interoperability: Direct integration with Ethereum’s rollup-centric vision.
• Gas optimizations: Dynamic pricing models based on real-time network demand.
• Decentralized governance: ENS DAO proposals to vote on future upgrades.

BTCC Exchange has already listed ENS tokens for margin trading, capitalizing on the volatility sparked by the announcement.

Expert Take: A Win for Ethereum’s Ecosystem?

Industry heavyweights are split. Some argue consolidating on ethereum strengthens security, while others warn of centralization risks. “It’s a trade-off,” says Coinbase’s Head of Research. “But Ethereum’s scaling trajectory justifies the bet.” Meanwhile, memes mocking “Layer 2 refugees” are flooding Crypto Twitter.

FAQ: Your Burning Questions Answered

Will ENSv2 support other Layer 2s?

No. The team confirmed ENSv2 will exclusively use Ethereum’s mainnet and native scaling solutions.

How does this affect ENS token holders?

Token utility shifts toward governance, with staking rewards tied to protocol upgrades. Price swings are likely—DYOR!

Is BTCC a safe platform to trade ENS?

BTCC is a regulated crypto exchange with robust liquidity. But remember: