Mechanism for enabling layer two host addresses to be shielded from the switches in a network

Methods and systems for shielding layer two host addresses (e.g., MAC addresses) from a network are provided. An edge network device interposed between a network of switches and multiple local hosts receives from a first local host a first packet destined for a first destination host. The first local host has a first layer 2 (L2) address and a first layer 3 (L3) address associated therewith. The first packet includes the first L2 address as a source L2 address of the first packet, and includes the first L3 address as a source L3 address of the first packet. The edge network device shields the first L2 address from the network of switches by replacing the source L2 address for the first packet with a first substitute L2 address of a first communication channel of the edge network device before sending the first packet to the network of switches.