Harmony proposes to shut down its layer‑1 blockchain and move ONE token to Ethereum
Harmony to close its own blockchain
Harmony announced a proposal to sunset its layer‑1 blockchain and move the native ONE token to Ethereum. The plan calls for a final network snapshot, creation of ERC‑20 ONE on Ethereum and migration of exchange listings.
Key points
- All ONE balances will be recorded at a final block and airdropped as ERC‑20 tokens on Ethereum.
- Validators can stop their nodes, become governors, or join a new AI‑video initiative.
- A $1.372 million pool will compensate validators who shut down on time and retain their stakes.
- Multisig safes, liquidity pools and on‑chain applications cannot be migrated; users must exit those contracts before Sept 10.
- Proposal is non‑binding and does not specify the exact date of the final block.
How the proposal works
The snapshot will capture wallet balances, staking delegations, validator rewards and smart‑contract holdings. The same addresses on Ethereum will receive the ERC‑20 ONE airdrop. Harmony’s governance rules require 51 % of stake participation and 66.7 % support after a seven‑day introduction and a 14‑day vote for a proposal to pass.
Recent exploit that preceded the plan
In mid‑August an attacker minted nearly 4 billion unauthorized ONE, about 26 % of the total supply. Harmony announced a rollback to an August 11 checkpoint, discarding 109,126 regular transactions and 315 staking transactions.
What is confirmed
Harmony has publicly posted the shutdown proposal on X and outlined the snapshot and airdrop process. The $1.372 million compensation pool for validators is confirmed. The exploit and the planned rollback were announced on Aug 12 and Aug 17.
Open questions
The exact date of the final block has not been set. It is unclear whether the proposal will be submitted to Harmony’s validator‑led governance process or how many validators will vote. Migration of multisig wallets, liquidity pools and on‑chain applications is not supported, and users must exit those contracts before Sept 10.
Why it matters
Moving ONE to Ethereum would shift the token from Harmony’s own network to a larger, more widely used blockchain, potentially simplifying access for users and exchanges. The shutdown also reflects the impact of the recent exploit on Harmony’s long‑term strategy.
Next steps
Validators may begin shutting down nodes on Sept 10. Users are advised to withdraw funds from Harmony smart contracts before that date. After the snapshot, ERC‑20 ONE will be distributed on Ethereum, and exchange listings will be updated.
