Harmony Hit with Massive ONE Token Heist

A major security incident has hit Harmony's Layer 1 blockchain, resulting in an unauthorized minting of at least 4 billion ONE tokens. This represents about 26% of its total supply.

The attacker moved approximately 2.8 billion of the minted tokens into exchanges, leaving around 115 million ONE tokens on-chain to sell. The token's price plummeted to a new all-time low of $0.0005735 following the incident, according to data from CoinGecko.

Hackers exploited Harmony's system by minting the large amount of tokens and then transferring them to exchanges. On-chain analyst Juiceberg was among the first to raise the alarm on August 12, highlighting the severity of the situation.

Harmony has asked exchanges to freeze funds linked to four wallet addresses associated with the incident, which is still under investigation. The team also paused the LayerZero-Harmony bridge and requested validators to upgrade with a patch that prevents further minting of ONE tokens.