Harmony proposes shutting down L1, migrating ONE to Ethereum

The proposal signals a pragmatic retreat from maintaining a standalone L1 after a security incident undermined its integrity. The move would effectively consolidate Harmony's security and liquidity into Ethereum's ecosystem, reducing operational overhead but raising questions about the long-term viability of the ONE token's utility. For existing users and validators, the transition's execution—how assets and infrastructure migrate—will determine whether the project retains any distinct value. Whether the community approves and how smoothly the migration proceeds are the key watchpoints, as this could set a precedent for other distressed L1s weighing similar exits.