Ronin, the blockchain network created by the team behind Axie Infinity, has announced plans to migrate back to Ethereum as a layer-2 solution by the second quarter of 2026.
The move marks a shift from its original strategy of operating as a standalone blockchain, as the team now sees Ethereum’s improved performance and growing institutional adoption as key reasons for returning.
From Gaming Focus to Broader Applications
Launched in 2021, Ronin was built to address Ethereum’s limitations at the time, offering faster transactions and lower fees to power the NFT-based game Axie Infinity.
Over time, however, Ethereum has scaled significantly, and Ronin’s developers now believe the ecosystem is better equipped to handle large-scale applications. The transition to a layer-2 chain will allow Ronin to expand beyond gaming, opening its doors to a wider range of decentralized applications.
Ethereum’s Appeal to Wall Street
A major factor behind the migration is Ethereum’s increasing traction with traditional finance. The Ronin team noted that “Ethereum is winning the war for Wall Street’s attention and capital,” highlighting the growing role of Ether as an institutional asset.
Recent initiatives, such as the launch of Etherealiz, a company dedicated to presenting Ethereum to Wall Street investors with support from the Ethereum Foundation, have reinforced Ethereum’s position as a financial hub.
At the same time, publicly traded “Ethereum treasury companies” have begun to emerge, adding Ether to their balance sheets. By wrapping ETH into equity-style products and leveraging staking yields, these companies have made Ethereum investments more accessible to traditional investors.
A Foundation for the Future of Finance
Ethereum’s evolving role as the backbone of decentralized finance is another factor influencing Ronin’s decision. Supporters of the Ethereum treasury model believe the network will underpin a new financial system, enabling real-world asset tokenization, stablecoin settlement, and DeFi growth. Analysts point out that the recently passed GENIUS bill, which restricts yield-bearing stablecoins in the US, may further push investors toward Ethereum-based DeFi platforms where staking and lending opportunities remain available.