What is expected in the development of ENS?
The Ethereum Name Service (ENS) roadmap is focused on making the platform faster, easier to use, and compatible with multiple blockchains.
- ENSv2 Layer 2 Migration (Q4 2025) – Moving core features to a Layer 2 network to lower fees.
- Improved Multi-Chain Compatibility (Q1 2026) – Allowing .eth names to work across different blockchains.
- Social Recovery Options (2026) – Letting users recover their domain names through trusted contacts.
In-Depth Look
1. ENSv2 Layer 2 Migration (Q4 2025)
What’s happening: ENSv2, announced in May 2025, plans to move key functions like registering .eth names to a Layer 2 network called “Namechain” (built with Linea). This change aims to cut transaction fees by about 90% and speed up processing. The final steps, including deploying on Layer 2 and moving contracts, are expected to happen by late 2025 after community votes (ENSv2 Proposal).
Why it matters: Lower fees could attract many more users, especially everyday people and decentralized apps (dApps). However, there is a chance of delays or disagreements in the community about the changes.
2. Improved Multi-Chain Compatibility (Q1 2026)
What’s happening: ENSv2 will introduce CCIP-Read Gateways, which let .eth names work across different blockchain networks, including Ethereum-compatible chains and others like Bitcoin and Solana. This builds on partnerships such as Gemini’s wallet, which uses ENS subnames for cross-chain identity (Gemini Collaboration).
Why it matters: This could make ENS the go-to naming system for Web3 by supporting multiple blockchains seamlessly. Adoption will depend on how many wallets and apps integrate these features and how it competes with other naming services like Unstoppable Domains.
3. Social Recovery Options (2026)
What’s happening: ENS Labs is working on social recovery features that let users pick “guardians” — trusted friends or hardware wallets — to help recover lost domain names. This tackles a common problem where users lose access to their accounts, as seen in studies of services like PayPal and Venmo (CCN Report).
Why it matters: This will make ENS easier and safer for people who aren’t tech experts. Still, it’s a complex feature to build and could face security challenges, such as the risk of guardians working together maliciously.
Conclusion
ENS is focusing on making its system scalable, compatible across blockchains, and safer for users. The success of ENSv2 and its cross-chain features will depend on the growth of Ethereum’s Layer 2 networks and partnerships with popular wallets like MetaMask. Will the Layer 2 migration lead to a big increase in .eth registrations, or will other naming systems take the lead?
What updates are there in the ENS code base?
The Ethereum Name Service (ENS) is rolling out updates to improve scalability, security, and ease of use.
- Namechain Layer 2 Launch (October 2025) – ENS moves to its own Layer 2 network to make transactions cheaper.
- ENSv2 Protocol Upgrade (June 2025) – Adds support for multiple blockchains and flexible resolver features.
- Gasless DNSSEC Support (April 2024) – Lets users link traditional domain names without paying blockchain fees.
- Subname Recovery Options (August 2025) – Enables social recovery for lost wallets through a partnership with Gemini.
In-Depth Look
1. Namechain Layer 2 Launch (October 2025)
What’s happening?
ENS is launching a dedicated Layer 2 network called "Namechain" in partnership with Linea. This move shifts most ENS operations off the main Ethereum blockchain, cutting transaction costs by about 90%. Developers will also be able to create custom features like subdomains directly on Namechain.
Why it matters:
Lower fees and faster transactions make it easier for people to use .eth domains, especially for creating multiple subdomains like wallet.gemini.eth. This could lead to wider adoption of ENS names. (Source)
2. ENSv2 Protocol Upgrade (June 2025)
What’s happening?
The ENSv2 upgrade allows .eth names to connect with wallets on other blockchains such as Solana, Bitcoin, and Cosmos. It also introduces modular resolvers that can add features like temporary permissions for team members.
Why it matters:
ENS is becoming a universal identity system across different blockchain networks. This makes it easier for developers to build apps that work on multiple blockchains using a single ENS name. (Source)
3. Gasless DNSSEC Support (April 2024)
What’s happening?
ENS now supports off-chain verification of DNS records, allowing users to link traditional domain names (like .com) to ENS without paying Ethereum gas fees. This uses decentralized gateways to check domain ownership while keeping control on the blockchain.
Why it matters:
Businesses can connect their existing websites to ENS, enabling crypto payments and Web3 features without extra costs. This bridges the gap between traditional web domains and blockchain technology. (Source)
4. Subname Recovery Options (August 2025)
What’s happening?
ENS partnered with Gemini to offer social recovery for subnames. If users lose access to their wallet keys, they can recover their ENS names through email or SMS verification. This uses advanced cryptography to keep recovery secure and private.
Why it matters:
This feature reduces the risk of losing access to important ENS names, especially for businesses and institutions. It adds a layer of security that supports mainstream adoption. (Source)
Conclusion
ENS is transforming into a cross-chain identity system with affordable infrastructure and enterprise-ready features. Moving to Layer 2 and adding recovery options show growing interest from institutions. As ENS becomes a key part of Web3, it will need to balance decentralization with regulatory compliance to succeed.
What could affect the price of ENS?
The future of Ethereum Name Service (ENS) depends on overcoming adoption challenges, managing token releases, and competing in the evolving Web3 identity space.
- Token Unlocks (Potential Downside) – Nearly $20 million worth of ENS tokens will enter the market by early October, which could increase selling pressure.
- ENSv2 Upgrade (Positive Outlook) – Moving to a Layer-2 solution aims to cut fees and improve scalability.
- Domain Market Changes (Mixed Effects) – Demand for Web3 domain names is growing, but competitors are challenging ENS’s lead.
In-Depth Analysis
1. Token Unlocks: Risk of Oversupply (Potential Downside)
What’s Happening?
Between October 4 and November 4, 2025, about $19.82 million worth of ENS tokens will be unlocked and available for trading. This is part of a larger wave of crypto token unlocks totaling over $1 billion. Historically, when large amounts of tokens become available, prices often drop if demand doesn’t keep up. For example, Aptos saw a $58.75 million token release that led to price declines. ENS’s recent 60-day price drop of nearly 28% and relatively high trading turnover suggest that the market may be vulnerable to increased volatility.
What This Means for You
This unlock will add roughly 927,000 ENS tokens to the market, about 2.5% of the total circulating supply. While the current daily trading volume of $72.7 million suggests the market can absorb this supply, there’s still a risk that traders might sell ahead of the unlock, pushing prices down toward the $19.40 support level. For more details, see Cointribune.
2. ENSv2 & Layer-2 Migration: A Boost for Growth (Positive Outlook)
What’s Happening?
ENS plans to launch “Namechain,” a Layer-2 solution on Ethereum, by late 2025. This upgrade aims to reduce transaction fees by about 90% and enable naming across different blockchains. ENS has also partnered with PayPal and Venmo to integrate .eth domains and with Gemini to support .eth subdomains for wallet recovery.
What This Means for You
Lower fees could encourage more people to register .eth domain names, which currently number around 2 million. This would increase revenue for ENS and could help the platform regain its 2023 price peak of $29, especially if the upgrade coincides with Ethereum’s Dencun upgrade (EIP-4844). For more information, visit the ENS Blog.
3. Competition in Web3 Identity: Opportunities and Challenges (Mixed Effects)
What’s Happening?
Traditional domain markets are slowing down, with sales taking 3 to 6 months. Meanwhile, competitors like Unstoppable Domains and Handshake are challenging ENS’s position. However, ENS benefits from strong integration with Ethereum and institutional support, such as Coinbase migrating its .cb.id domains to ENS infrastructure.
What This Means for You
ENS currently leads in Ethereum-based naming but needs to expand support to other blockchains like Bitcoin and Solana to avoid losing market share. If ENS doesn’t successfully bridge traditional domain names (like .com) to .eth, competitors could take advantage. For more insights, see Cointelegraph.
Conclusion
ENS’s price will likely fluctuate between the positive effects of protocol upgrades and the negative impact of token unlocks. Keep an eye on the Namechain testnet launch expected in Q4 2025 and how tokens flow after the unlock for clues on price direction. The big question is whether ENS can capitalize on Ethereum’s privacy features (like ERC-4337 and stealth addresses) to become the go-to identity layer for Web3, or if token supply pressures will slow its progress.
What are people saying about ENS?
Talk around Ethereum Name Service (ENS) is swinging between hopes for a price breakout and fears of a crash. Here’s what’s trending:
- Traders debate a potential rally to $38 versus a drop to $16
- Gemini partnership boosts excitement around Web3 digital identities
- ENS team moves $4 million worth of tokens to exchanges, sparking selloff concerns
Deep Dive
1. Bullish $38 target vs. bearish $16 crash
John Morgan (@johnmorganFL) shared a technical analysis suggesting that if ENS holds its current support level around $21.67, the price could jump to between $32 and $38. However, there’s also a bearish view warning that if the price falls below $16, it could drop as low as $14.80. This shows mixed opinions among traders about ENS’s next move.
– Original post on CoinMarketCap
What this means: The market is divided. Some investors expect ENS to climb higher if it maintains key support, while others worry about a significant price drop if that support breaks.
2. Gemini integration bullish
ENS announced a partnership with Gemini, a major cryptocurrency exchange, allowing over 750,000 Gemini Wallet users to claim Web3 identities using ENS subnames like gemini.eth. This integration makes it easier for users to manage their digital identities on the blockchain.
– Original post on X (formerly Twitter)
What this means: This partnership is a positive sign for ENS adoption. It expands the use of ENS beyond just Ethereum users, helping more people access and use blockchain-based digital identities.
3. Team transfers spark selloff fears
On-chain data shows the ENS team moved about 141,937 tokens, worth roughly $4 million, to exchanges like FalconX and Coinbase. Some traders worry this could mean the team is preparing to sell, which might put downward pressure on the price. However, it could also be routine treasury management rather than a sign of an imminent selloff.
– Original post on Binance Square
What this means: This move raises short-term concerns about potential selling, but it’s not definitive. It might simply reflect operational needs or diversification of funds.
Conclusion
The outlook for ENS is mixed right now. On one hand, partnerships like the Gemini integration support its growing role in Web3 digital identity. On the other hand, technical analysis and recent token movements suggest caution. Traders should watch the price range between $21.67 and $16.03 closely for clues about which direction ENS might take next.
What is the latest news about ENS?
Ethereum Name Service (ENS) is managing upcoming token unlocks and changes in the domain market while strengthening Ethereum’s privacy features. Here’s a quick summary of the latest developments:
- $19.8M Token Unlock (October 5, 2025) – Part of a larger $1 billion+ wave of crypto tokens becoming available, which could increase selling pressure.
- Domain Market Challenges (October 5, 2025) – New token-based domain systems are competing with traditional domains, highlighting ENS’s advantages in Web3.
- Ethereum Privacy Enhancements (October 3, 2025) – ENS is playing a key role in new decentralized identity tools as part of Ethereum’s privacy roadmap.
In-Depth Look
1. $19.8M Token Unlock (October 5, 2025)
What Happened?
On October 5, ENS released 19.82 million tokens, worth about $19.8 million at current prices. This is part of a larger trend where over $1 billion in crypto tokens will become available throughout October 2025. When many tokens unlock at once, it can sometimes lead to price drops if there isn’t enough demand. However, ENS’s recent trading volume ($72.7 million in 24 hours) and turnover rate (9.09%) suggest the market can handle this increase moderately well.
What It Means
In the short term, this could put some downward pressure on ENS’s price, as past token unlocks have often led to price swings. Still, ENS has shown strong growth with a 28% price increase over the past year and active governance decisions, like funding legal expenses, which may help balance selling pressure. Keep an eye on token movements to exchanges and large holders’ activity for clues on price direction.
(Source: Cointribune)
2. Domain Market Challenges (October 5, 2025)
What Happened?
Experts warn that traditional domain name markets could become outdated without adopting tokenization. ENS is well-positioned to benefit because it offers faster transactions and integration with decentralized finance (DeFi), unlike traditional domains that can take 3 to 6 months to sell and often involve high broker fees (15–30%).
What It Means
This is a positive sign for ENS in the long run. As traditional domains lose ground, ENS—with over 2 million registered .eth names and partnerships like Gemini’s .eth subdomains—is becoming the go-to standard for Web3 naming. Watching adoption rates, such as Layer 2 (L2) network integrations and daily new registrations, will be important to gauge growth.
(Source: Binance News)
3. Ethereum Privacy Enhancements (October 3, 2025)
What Happened?
ENS has joined Ethereum’s Privacy Stewards initiative, which supports new privacy features like stealth addresses (ERC-5564) and privacy-focused Layer 2 solutions. This fits with ENS version 2’s goals of working across different blockchains and lowering transaction costs.
What It Means
This development expands ENS’s usefulness beyond just naming services to include privacy-focused identity tools. With Ethereum’s upcoming Dencun upgrade lowering costs on Layer 2 networks, ENS could see more use in private voting systems and confidential transactions. Tracking developer activity and new ENS registrations on Layer 2 will help measure momentum.
(Source: CCN)
Conclusion
ENS is facing mixed signals: short-term challenges from token unlocks but strong long-term opportunities from Ethereum’s privacy improvements and shifts in the domain market. While the increased token supply in October might test support levels around $21, ENS’s growing role in Web3 infrastructure points to resilience. The key question is whether ENS’s adoption on Layer 2 networks will outpace the volatility caused by token unlocks in the last quarter of 2025.
Why did the price of ENS go up?
Ethereum Name Service (ENS) increased by 2.52% in the last 24 hours, outperforming the overall crypto market, which rose by 0.82%. This rise matches positive technical signals and growing excitement about ENS’s role in shaping online identity within Web3.
- Technical Rebound (Positive Sign) – ENS price moved above important moving averages, indicating short-term upward momentum.
- Web3 Identity Story (Mixed Impact) – Renewed interest in decentralized naming systems as traditional domain markets face challenges.
- Token Unlock Concerns Easing (Neutral) – The market handled the release of $19.8 million worth of tokens on October 5 without major selling pressure.
Deep Dive
1. Technical Rebound (Positive Sign)
Overview:
ENS’s price climbed back above its 200-day simple moving average (SMA) at $21.47 and its 30-day SMA at $22.11. The MACD indicator, which helps show momentum, turned positive for the first time in two weeks. The Relative Strength Index (RSI) moved out of oversold levels, suggesting there’s room for the price to go higher.
What this means:
The price staying above the key $20.65 support level encouraged automated buying and traders closing short positions. Data shows many buy orders clustered around $21.50, supporting short-term bullish momentum.
What to watch:
If ENS can stay above the 30-day SMA ($22.11), it may aim for $23.01, which is a key resistance level based on Fibonacci retracement.
2. Web3 Identity Story (Mixed Impact)
Overview:
A recent Cointelegraph article (October 5, 2025) pointed out that ENS offers a solution to the $10 billion domain industry’s liquidity problems. Unlike traditional domain sales that take months, ENS allows instant transactions. Additionally, Ethereum’s PSE initiative has integrated ENS into its privacy plans for decentralized identity.
What this means:
ENS benefits from two positive trends: criticism of old domain systems boosts its appeal, and Ethereum’s upgrades improve its usefulness. However, new ENS domain registrations remain flat, showing a gap between the hype and actual adoption.
3. Token Unlock Concerns Easing (Neutral)
Overview:
On October 5, ENS released 19.82 million tokens (worth about $19.8 million) as part of a scheduled vesting plan. Despite worries, the price remained stable after the unlock, and token inflows to exchanges only rose slightly (+3.2%, according to Santiment).
What this means:
The market had already factored in the token release, and the lack of heavy selling suggests holders expect future positive developments, like ENSv2’s move to Layer 2 solutions. However, the circulating supply is now 37.4 million tokens (37.4% of the total), which keeps some inflation pressure on the price.
Conclusion
ENS’s recent price recovery is driven by both technical factors and speculative interest in its role in Web3 identity, but real growth in user adoption is still uncertain. Holding above $21.50 will be key to determining if this is a temporary bounce or a lasting turnaround.
Key watch: Can ENS keep up momentum after the token unlock, especially as Ethereum’s Dencun upgrade (expected March 2024) improves Layer 2 interoperability, which is important for ENSv2?