Harmony to Sunset Layer 1 and Move ONE Token to Ethereum for AI Video Project
Harmony shuts down Layer 1 blockchain
Harmony announced on X that it will fully sunset its Layer 1 blockchain network. The decision follows a series of security threats, including recent exploits that compromised the ONE token.
Key points
- Network shutdown will begin on 10 September 2026.
- ONE token will be airdropped onto Ethereum; holders need not take action.
- Validators can stop running nodes from 10 September and may receive compensation from a $1.37 million pool.
- The platform will pivot to an AI‑video “remix economy”.
- Recent exploit minted billions of unauthorized ONE tokens, prompting the migration plan.
ONE token migration to Ethereum
Harmony will take a snapshot of all ONE holdings – including wallets, staking delegations, validator rewards, smart contracts and exchange balances – at the final block before shutdown. New ONE tokens with the same total supply will be airdropped to the same addresses on Ethereum. Delegated stakes and unclaimed rewards will be placed in individual “governor vaults”. Users are advised to withdraw from smart contracts and liquidity pools before 10 September 2026, as those assets cannot be migrated.
AI‑video remix economy
The new initiative will focus on AI‑generated video content. A small group of creators will publish prompts and assets; fans can “fork” these creations, and AI agents will generate many video clips from each fork. Harmony expects advertising revenue to grow as the user base expands.
Recent token‑minting exploit
In August 2026, Harmony confirmed an exploit that allowed an attacker to mint more than 3 trillion ONE tokens across six transactions. The flaw involved cross‑shard receipt verification that let valid receipts be processed multiple times. Harmony rolled the network back to a point before the minting and has since considered moving the token to Ethereum.
Confirmed details
- The shutdown announcement was posted on X on 6 September 2026.
- Validators may stop node operations from 10 September 2026.
- A $1.37 million compensation pool is set aside for validators who transition.
- The ONE token’s total supply and emission rate will stay the same after migration.
- The exploit was caused by a cross‑shard receipt verification bug.
Open questions
Harmony has not disclosed the exact launch date for the AI‑video platform or how the “governor” roles will be governed. Details on how advertising revenue will be shared with creators are also pending.
Implications
Moving ONE to Ethereum could give holders a more secure environment, while the AI‑video focus aims to create a new revenue stream for the project. The shift also reflects broader industry concerns about security on smaller Layer 1 chains.
