This feature is not yet live on Ethereum Mainnet. What follows describes the Sepolia testnet only. If an email or message asks you to upgrade your name, don't use its link: check your name on app.ens.domains.
Most wrapped names upgrade to ENSv2 without any special handling. The permissions you set on the old system carry across; they just stop being called fuses and start being called roles.
Fuses become roles
On ENSv1, locking a name down meant burning a fuse: a one-way switch that permanently removed an ability. ENSv2 does the same job with roles, which are permissions held by an address and can be granted or revoked.
A fuse you burned becomes the matching role left unheld, so nothing you locked comes unlocked.
What looks different afterwards
A Roles tab replaces the Fuses tab. Instead of a list of abilities you've burned, you see a table of who holds which permission.
Permissions are two-way on ENSv2: you can revoke a role and, if you hold the matching admin role, grant it again. Fuses could never be restored.
Your name's token ID (the number that identifies it as an NFT) changes, and will change again whenever roles change. Your records come across untouched — addresses, text records, avatar and Content Hash all keep their values. See Why did my name's token ID change?.
Locked subnames
If your name has subnames held in the Name Wrapper with fuses burnt, they need somewhere to keep those restrictions. The upgrade gives the name a wrapper registry: a contract that manages the name's subnames and keeps the old locks in force. The subnames move into it. You do not set this up; it happens as part of the upgrade.
Names that cannot upgrade
A small number of wrapped names are blocked, usually because a burned permission stops the name being moved at all. If your name will not upgrade, see Why can't I upgrade my wrapped name or subname? It covers both the fixable and the permanent cases.
Common questions
Do I need to upgrade my subnames separately?
Upgrade the parent first. A subname cannot upgrade ahead of its parent. Any subnames that can upgrade at the same time appear in the upgrade flow, so most subnames move together.
Does my name need unwrapping first?
No. Wrapped names upgrade as they are.