Coti, a development firm operating projects on Cardano and its blockchain network, is set to introduce an Ethereum Layer 2 as part of an upgrade scheduled for next year.

The strategic move involves its flagship blockchain, which uses Directed Acyclic Graph (DAG) technology, evolving into an Ethereum Layer 2 that supports native dapps.

Coti’s Ethereum Layer 2 network will have an emphasis on user privacy for dapps while drawing security from the Ethereum mainnet.

"What changes is that Coti’s infrastructure, formerly a proprietary DAG-based protocol, becomes an EVM-compatible, privacy-centric Layer 2 on Ethereum," a Coti spokesperson told The Block.

The development network (devnet) for Coti V2 is scheduled for the second quarter of 2024, followed by a testnet and the anticipated mainnet …