Overview
- Harmony published a proposal to end its Layer‑1 mainnet and issue ONE as an ERC‑20 on Ethereum by taking a final snapshot and sending replacement tokens automatically to the recorded addresses.
- The plan sets a Sept. 10 action window for users to withdraw from smart contracts and allows eligible validators to begin shutting down nodes from that date with access to a $1.372 million compensation pool paid over four quarters.
- The migration would record wallet balances, staking delegations, validator rewards, smart contract states and exchange‑held ONE for the airdrop, but multisig safes, DEX liquidity pools and many on‑chain applications cannot be migrated and require manual exits.
- Harmony says the proposal is non‑binding until it clears governance rules that demand 51% stake participation and 66.7% approval, and the team has promised to publish the Ethereum token contract, snapshot math and airdrop scripts for auditability.
- The move follows an August exploit in which a cross‑shard receipt verification bug let attackers duplicate receipts and create more than 3 trillion forged ONE, and Harmony plans to redirect future emissions and some validator roles into a proposed AI‑driven video 'remix economy.'