Arbitrum has submitted a formal proposal to construct Ronin’s upcoming Layer 2 (L2) network as an Arbitrum Orbit chain, aligning with Ronin’s broader migration plans to return to the Ethereum ecosystem as a full-fledged L2 by 2026 [3]. The initiative, announced by the Ronin team, aims to leverage Arbitrum’s technical infrastructure and gaming-focused support to enhance scalability, security, and interoperability for the Ronin network. The proposal outlines that the new L2 will be powered by RON, the native token of Ronin, and will benefit from Arbitrum’s native gas token support, optimized fee revenue for validators, and the ability to customize governance structures [3].

The move underscores a strategic shift by Sky Mavis, the developer behind Axie Infinity and the Ronin blockchain, to re-embed itself within the Ethereum ecosystem. Ronin initially branched off from Ethereum in 2021 due to scalability and cost limitations, particularly for Axie Infinity users. However, as Ethereum has evolved, with improved transaction speeds and reduced costs, the team has concluded that the timing is optimal to rejoin the Ethereum network [1]. The transition is expected to be completed by the first half of 2026 and will occur in two distinct phases as outlined in a migration roadmap [4].

The decision to integrate with Arbitrum’s Orbit chain is positioned as a key enabler for Ronin’s transformation into a multi-functional L2 capable of supporting not only gaming but also broader applications, including decentralized finance (DeFi) and non-fungible tokens (NFTs). The proposal highlights that Arbitrum Gaming Ventures will provide strategic support to accelerate the adoption of Web3 gaming, a critical component for Ronin’s vision of becoming “the gamification engine of Ethereum” [3].

Ethereum’s increasing appeal to institutional investors has also played a significant role in the decision. According to Ronin, the network is now “winning the war for Wall Street’s attention and capital,” which aligns with the broader institutionalization of crypto assets [4]. This trend has been amplified by the emergence of publicly traded Ethereum treasury companies and growing interest in yield-bearing assets within the Ethereum ecosystem. The recent launch of Ethereum-focused marketing initiatives, such as those by Ethealize, has further reinforced Ethereum’s position in the institutional space [4].

Ronin’s migration also reflects its broader strategic goals to expand beyond gaming-centric use cases. The network has already taken steps in this direction through initiatives like Project Leviosa, which introduced Open Ronin, a platform supporting smart contracts for DeFi, infrastructure, and consumer applications. By returning to Ethereum as an L2, Ronin aims to integrate more deeply with the broader Ethereum ecosystem, allowing users to seamlessly transfer assets between the mainnet and the Ronin network [3]. This interoperability is expected to enhance user experience, particularly for developers and NFT collectors who require fast and secure transaction capabilities [2].

The reintegration of Ronin into Ethereum as an L2 is anticipated to intensify competition among Ethereum Layer 2 solutions, particularly with platforms like Optimism and Polygon. However, Ronin’s unique focus on gaming and NFTs, combined with the advantages of Arbitrum’s technical stack, positions it as a strong contender in this space. The network has previously demonstrated resilience, including recovering from a major security incident in 2022 and maintaining continuous improvements in its consensus mechanisms [1].

Source: [1] Ronin Developers Plan Return to Ethereum as Layer 2 Network (https://forklog.com/en/ronin-developers-plan-return-to-ethereum-as-layer-2-network/)

[2] Ronin Network’s Ethereum Return: What This Radical Layer 2 Shift Means (https://www.livebitcoinnews.com/ronin-networks-ethereum-return-what-this-radical-layer-2-shift-means/) [3] Arbitrum submits proposal to build Ronin L2 as an Orbit chain (https://crypto.news/arbitrum-submits-proposal-to-build-ronin-l2-as-an-orbit-chain/) [4] Ronin Network is Coming Back Home to Ethereum in 2026 (https://cointelegraph.com/news/axie-infinity-ronin-coming-back-ethereum)