Harmony Investigates Massive Unauthorised Token Mint

Harmony's Layer 1 network has been hit by a suspected security incident, resulting in an estimated 4 billion ONE tokens being minted without authorization.

According to on-chain analyst Juiceberg, about 2.8 billion of these tokens quickly made their way to centralized exchanges, while approximately 115 million remained available for sale on the network.

The incident has led to a sharp decline in the price of ONE, with its value plummeting by around 26% over the past 24 hours and trading volume surging to $36 million.

This is not the first time Harmony has faced issues related to unauthorized token creation. In December 2023, a staking logic flaw led to the unintentional minting of 146.28 million ONE tokens, prompting an emergency hard fork to rectify the issue.