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Is there a document I can refer to understand how I can implement 2.0 scripts in our SC extensions?
Also, is it recommended that we use 2.0 scripts in extensions going ahead? Or is it fine to still keep using 1.0 SC models, at least for a while?

since 20.1 when you do a create, the sample extension already includes the example for ss2

if you can start using ss2 now that would be great, as you will have to do it at some point in the future once ss1 is no longer supported

But keep in mind that most of the commerce API is not migrated to SS 2.0.
I would personally use SS 2.0 for an extension if all of the extension's suitescript code can be 2.0.

Custom records are OK for example.
Cart is not available yet.

Okay, sounds good. We don't use Commerce API a lot, so we will move towards SS2 wherever possible, like you said.
Thank you for the inputs <@UD9EXR0MV> <@U658H85S9>