Harmony ONE Token Plummets 40% After $10 Billion Worth of New Tokens Mined

Harmony's ONE token saw a significant price drop of around 40% after an attacker exploited the Layer 1 blockchain, minting approximately 4 billion new tokens. This represents more than a quarter of the existing supply of ONE.

The unauthorized mint was first identified by onchain analyst Juiceberg, who estimated that roughly 2.8 billion ONE had been transferred to exchanges. The analyst later found that around 97% of the newly created tokens had either reached exchange deposit wallets or already been sold, leaving approximately 115 million ONE available for sale onchain.

Harmony is working with exchanges to freeze funds linked to the exploit and has identified four wallet addresses associated with the incident. The project is also evaluating rollback options, which would restore the blockchain to a state before the exploit and potentially remove unauthorized tokens from the network.