Ethereum co-founder Vitalik Buterin said the role of Layer 2 networks needs to be reconsidered as the Ethereum mainnet continues to grow and transaction costs remain low.
In an article on This roadmap envisioned Layer 2s as secure extensions of Ethereum that would handle most transactions while inheriting Ethereum’s security guarantees, often described as “branded shards” of the network.
Layer 2s, such as Arbitrum, Optimism, and Base, are off-chain networks built on top of primary (layer 1) blockchains like Ethereum. The main objective of these is to increase transaction speed and reduce transaction costs on the mainnet.
Think of the Ethereum mainnet as a crowded main room at a conference. Space is limited, so entry can be slow and expensive. Layer 2 networks act as overflow rooms, allowing people to participate and interact without cluttering the main lobby, while still remaining connected to what’s happening there.
“You are not scaling Ethereum”
According to Buterin, two developments have challenged this original vision of Layer 2 networks.
First, progress from Tier 2 to later stages of decentralization has been slower and more difficult than expected. Second, Ethereum itself now scales directly on layer 1, with fees remaining low and gas limits expected to increase significantly in 2026.
Buterin wrote that scaling Ethereum should mean creating “vast amounts of block space backed by the full faith and credit of Ethereum,” where activity is “guaranteed to be valid, uncensored, unreestablished, intact, as long as Ethereum itself operates.”
He argued that high-speed chains connected to Ethereum via multisig-controlled bridges do not meet this definition. “If you create a 10,000 TPS EVM where its connection to L1 is via a multisig bridge, then you are not scaling Ethereum,” he wrote.
According to him, Ethereum no longer needs Layer 2s to function as “branded shards” for the network. This means that as Ethereum itself evolves, Layer 2 networks are no longer required to function as official extensions of Ethereum. It also noted that many Tier 2s are “not able or willing” to meet the decentralization and security standards required by the model.
Buterin also noted that some level 2s may intentionally choose not to go beyond “stage 1”, particularly for regulatory reasons.
In one example, he wrote that a project claimed it could never decentralize further because “the regulatory needs of their clients demand that they have ultimate control.” Although he said this approach might be appropriate for these users, he added that such systems should not be described as scaling Ethereum.
“This can be a good thing for your customers. But it should be obvious that if you do this, you are not scaling Ethereum in the sense that the rollup-centric roadmap intends,” Buterin wrote.
Instead, Buterin suggested viewing Layer 2s as a spectrum of networks with different levels of connection to Ethereum, each offering different tradeoffs. He said Layer 2s should focus on delivering value beyond basic scaling, such as privacy features, app-specific design, lightning-fast transaction confirmation or non-financial use cases, and be clear with users about the guarantees they offer.
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