Harmony Proposes L1 Shutdown, ONE Migration to Ethereum

Harmony has proposed shutting down its layer-1 blockchain and migrating ONE to Ethereum, marking a sharp reversal for a network that once positioned itself as a scalable alternative to larger smart-contract chains.

The proposal comes weeks after an exploit prompted plans to discard 109,000 transactions, a step that raised questions about the network’s operational resilience and governance framework. By shifting activity to Ethereum, Harmony appears to be acknowledging the difficulty of sustaining a standalone layer-1 ecosystem after a major security incident.

For token holders and developers, the proposal raises immediate questions about asset continuity, contract migration and the future utility of ONE. It also reflects a broader market reality: in a higher-liquidity environment, networks with weaker security records and limited ecosystem traction can struggle to justify the cost of maintaining independent infrastructure.

The market will likely focus on whether the migration plan preserves token functionality and whether users accept Ethereum as the settlement layer for Harmony’s remaining activity. Any transition timeline, bridge mechanics and governance vote details will be critical for assessing execution risk.