Ethereum Foundation Redraws L1 and L2 Roles in Major Strategy Update

Highlights:

• The Ethereum Foundation has updated how Layer 1 and Layer 2 networks work together across the ecosystem.
• Layer 2 networks must now offer unique features while meeting stricter security standards.
• Developers are focusing on differentiation as Layer 2 moves beyond its original scaling role.

The Ethereum Foundation published a new framework that reshapes how Layer 1 and Layer 2 networks interact. Josh Rudolf, Julian Ma, and Josh Stark wrote the framework that marks the first major revision of Ethereum’s rollup model in about five years.

https://t.co/FjXRCLidLW

— BSCN (@BSCNews) March 24, 2026

The framework keeps Layer 1 at the center of Ethereum’s structure. It defines the base layer as the main hub for settlement, shared state, liquidity, and decentralized finance activity. The Ethereum Foundation said no other blockchain matches Ethereum in adoption, decentralization, and resilience. It plans to scale Layer 1 further while keeping those qualities intact.

Developers now rely more on zero-knowledge technology to scale the network. They said these systems have improved faster than expected in recent years. The roadmap also introduces faster finality and smoother transaction processing.

Blob usage remains low across the network. Only a portion of the available blob space is currently in use. This leaves enough room for Layer 2 networks to expand without facing limits. The roadmap also aims to make it easier to access liquidity on Layer 1. The teams want users to move funds in and out of the base layer with fewer delays.

The update also connects with Justin Drake’s Lean Ethereum proposal. That plan reorganizes how consensus, data, and execution function together. It aims to achieve faster confirmation times and more efficient proof systems. It also prepares the network for long-term risks, including post-quantum security concerns.

Ethereum Foundation Pushes L2s Toward Security and Differentiation

The update also changes how developers view Layer 2 networks. Earlier designs treated rollups mainly as scaling tools. That approach has now changed, with developers now expecting Layer 2 networks to offer features that the base layer does not provide.

1/ How L1 and L2s can build the strongest possible Ethereum

tldr: we should continue to lean into the unique capabilities of each layer, and make sure all users have a clear path to securely and seamlessly benefit from the core properties of Ethereum pic.twitter.com/jUPNscgSix

— joshrudolf.eth (@rudolf6_) March 23, 2026

Rollups must target particular use cases and niche environments such as privacy-aware applications, low-latency systems, or special-purpose execution models. Other networks might also adopt non-EVS designs or alternative pricing models.

The Ethereum Foundation stated, “Second-layer solutions should offer users what the base layer cannot. This could include specialized applications, non-EVM functions, additional privacy guarantees, ultra-low latency, or unique pricing mechanisms.”

This statement explains the direction clearly. Scaling remains important, but it is no longer the point of Layer 2 networks. Every network should now have a distinct role in the ecosystem. That role is conditional on what it contributes to the bottom layer.

Security requirements have also tightened. Every Layer 2 network is expected to achieve Stage 1 security. This tier guarantees users the ability to pull out funds to Layer 1 whenever they want to do so. Users are required to retain such an option despite operator action. The Ethereum Foundation refers to this requirement as the “walkaway test.” Vitalik Buterin has also expressed a similar opinion in a recent post. He argued that developers must consider Layer 2 as a spectrum of possibilities.

Fragmentation Remains Ethereum’s Main Ecosystem Challenge

Users are continuing to experience difficulty in transitioning through various sections of the network. Changing between wallets, applications, and chains can be frictional. Moreover, developers who build in more than one environment are facing similar issues, which complicate usage and development.

The Ethereum Foundation intends to resolve this problem by increasing coordination. It will collaborate with wallets, infrastructure providers, and Layer 2 teams to enhance the relationship between various systems and their functionality. The platform team, led by Josh Rudolf, will connect rollup developers with core protocol work. This team will ensure that development priorities reflect real ecosystem needs.