Harmony Proposes Shutdown and Migrates ONE to Ethereum ERC-20

Harmony, a blockchain platform, has proposed shutting down its Layer-1 network and migrating its native token ONE to Ethereum as an ERC-20 token. The plan would end Harmony's independent operation and allow validators to shut down their nodes after processing the final blocks on September 9, 2026.

According to CryptoTicker, the proposal followed a cross-shard verification failure on August 12, 2026 that allowed valid receipts to be redeemed more than once, creating new ONE with no offsetting entry. The attack was estimated to have covered around 4 billion ONE, while Harmony opted for a rollback to a state before the attack.

The project's reasoning for shutting down its Layer-1 network is due to the 'threats posed by state actors and AI agents being too great.' As part of the migration process, balances recorded at the network's final block would be used to issue new ERC-20 tokens on Ethereum, with no claim process required for eligible holders.

Harmony has allocated a $1.372 million compensation pool for validators who shut down their nodes on time and retain their stakes. Validators have options to shut down nodes, remain involved as governors, or move into Harmony's newly described AI-video initiative.