Overview
- On-chain reports say roughly 4 billion ONE were created without authorization, a supply shock equal to about a quarter of the token’s prior circulating supply.
- Harmony has acknowledged the incident and said it is working with centralized exchanges to stop and freeze deposits while engineers prepare a software patch and assess a rollback.
- Independent analyst Juiceberg reported that about 2.8 billion ONE moved to exchanges and roughly 115 million remained available on-chain, but Harmony and exchanges have not verified those transfer amounts.
- ONE’s market price fell roughly in the mid-20s to low-30s percent range and trading volume spiked as sellers and investors reacted to the reported mint and uncertainty over recovery steps.
- The episode revives scrutiny of Harmony’s earlier security failures, including a 2023 staking bug that minted 146.3 million ONE and a 2022 Horizon Bridge theft, and it raises governance and user-risk questions over rollbacks and frozen exchange balances.