Harmony proposes $1.372M plan to sunset layer 1

• Harmony has proposed retiring its seven-year-old Layer 1 and moving ONE (CRYPTO:ONE) to Ethereum.
• Eligible validators could share a $1.372 million compensation pool after shutting down their nodes.
• The proposal follows an August exploit that created more than 3 trillion unauthorised ONE tokens.

Harmony has proposed retiring its Layer 1 and moving ONE (CRYPTO:ONE) to Ethereum (CRYPTO:ETH) as an ERC-20 token.

The plan calls for a final network snapshot before replacement ONE tokens are issued on Ethereum.

Users have been asked to exit smart contracts before September 10, while validators can begin shutting down nodes that day.

Harmony has set aside $1.372 million to compensate eligible validators and delegators who meet its transition conditions.

The proposal remains non-binding, and Harmony has not set a final block date for the network shutdown.

The move follows an August exploit that created more than 3 trillion unauthorised ONE tokens through a cross-shard receipt verification flaw.

Harmony has also proposed shifting towards an AI video project, with future ONE emissions supporting the new initiative if the plan proceeds.

At the time of reporting, Harmony price was $0.0007287.