A group of Ethereum developers including Gnosis, Zisk and the Ethereum Foundation has launched the Ethereum Economic Zone to address fragmentation across the network’s layer 2 ecosystem.
The initiative, unveiled at the EthCC conference in Cannes, seeks to enable seamless interaction between Ethereum’s add-on networks, reducing the need for slow and costly asset transfers.
“Ethereum doesn't have a scaling problem. It has a fragmentation problem. Every new L2 is a silo that makes it harder to seamlessly extend and drive value back to the Ethereum mainnet,”
Said Gnosis co-founder, Friederike Ernst.
Ethereum has long relied on layer 2 networks to improve scalability, but these systems often function as isolated environments requiring bridges that introduce cost, delays and risk.
The Ethereum Economic Zone aims to unify these networks into a single system where applications and transactions can operate across chains instantly while maintaining Ethereum’s underlying security.
The move comes amid growing debate over Ethereum’s scaling strategy, with co-founder Vitalik Buterin recently highlighting concerns around fragmentation and user experience tied to the current L2-heavy approach.
The project, which will retain ETH as the primary token for fees and focus on shared liquidity and infrastructure, is being developed openly with input from the broader Ethereum community.
At the time of reporting, Ethereum price was $2,052.96.