Altcoins News

Story: Harmony Proposes Shutdown and Migration to Ethereum Following 109,000-Transaction Exploit

By Sydney TheCMO

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What the Migration Actually Looks Like. The plan, if it passes, works like this: Harmony records all ONE token balances at the final block…

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Governance Rules and What Passes the Vote. The proposal isn't binding yet. Under Harmony's governance rules, elected validators can initiate…

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Harmony wants out. The layer-1 blockchain, founded seven years ago and built to be Ethereum-compatible, just put forward a non-binding proposal to shut itself down and migrate…

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The trigger was a security exploit that hit the network less than four weeks before the proposal dropped.

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The plan, if it passes, works like this: Harmony records all ONE token balances at the final block — wallets, staking delegations, validator rewards, smart contracts, centralized…

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But there are limits. Multisig safes, liquidity pools, and onchain applications can't be migrated. Harmony was pretty direct about that.

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And Harmony is paying them to do it. A $1.372 million compensation pool sits ready for validators who shut down on time, keep their stakes, and agree to serve as governors going…

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Related: Pineapple Financial Moves $1 Billion in Mortgages to Injective, PAPL0 Token Soars 48%

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The proposal isn't binding yet. Under Harmony's governance rules, elected validators can initiate proposals, and unelected validators can vote based on their stake weight.

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That ambiguity is kind of a big deal. Exchanges listing ONE need to know when to update. Token holders sitting in smart contracts need to know how much time they actually have.

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Stablecoin migrations and token wrapping on Ethereum aren't new — plenty of projects have made similar moves when their native chains ran into trouble or lost user confidence.

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Read also: Blockstreams Liquid Network Suspended as 4,000 Bitcoin Bug Exposed, Draining $320 Million

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Harmony says it's been working with exchanges and law enforcement since the exploit surfaced.

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