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$ONE is the failure of L1 Once a popular sharding narrative public chain, Harmony has now announced the shutdown of its native L1 and the migration of the ONE token to Ethereum ERC20. Two fatal security incidents caused the foundation of trust to collapse directly 1. In August, a cross-shard vulnerability minted 3 trillion ONE out of thin air, reaching 200 times the circulating supply. The team had to forcibly roll back more than 140,000 blocks, erasing a large number of legitimate transactions. The core credibility of the public chain was completely shattered after this rollback. 2. In 2022, the Horizon cross-chain bridge was hacked by North Korea's Lazarus group, stealing nearly $100 million, marking a landmark case in the industry that year. Years later, the underlying security flaws have not been fixed, and another devastating vulnerability emerged, dealing two consecutive heavy blows to community confidence. On-chain data collapsed across the board, the ecosystem has long been dead in name only TVL fell from a peak of $1 billion to just tens of thousands of dollars, on-chain fee revenue has almost dropped to zero, and there is no sustainable economic activity on the native chain. The market cap has now shrunk to the tens of millions of dollars level, and the team has allocated $1.37 million to a severance pool to compensate validators for shutting down nodes. These node operators will subsequently become project governors. Migration to Ethereum is just a way to lie flat The old chain is directly shut down, and ONE is packaged and migrated to Ethereum, which is equivalent to abandoning all ambitions of an independent public chain. The project will subsequently shift to AI video business, officially ending the public chain story.