Harmony’s ONE dives 26% after attack appears to create tokens equal to quarter of supply
The Harmony blockchain network experienced an exploit that resulted in the unauthorized creation of ONE tokens, increasing the supply by approximately 26%. The team is currently working on a software patch and considering a network rollback to mitigate the damage.
Why it matters
This incident highlights the ongoing security risks in decentralized finance and the controversial trade-offs involved in using rollbacks to recover stolen funds.
Harmony confirmed the attack in an X post and said it is working with exchanges to freeze the funds and preparing a software fix.
“We are working on a patch and rollback options,” Harmony said, adding that it would provide another update when more information is available.
Harmony is a blockchain network whose ONE token is used to pay for transactions and help secure the chain. Roughly 15 billion ONE existed before the incident, meaning another 4 billion represents a sudden increase of about 26% against that supply.
A rollback would mean getting the network to return to a point before the exploit and continue from there, effectively removing some transactions that happened afterward from the blockchain’s accepted history.
That can prevent an attacker from keeping newly created tokens still on the network, but becomes harder once funds have reached exchanges or moved onto other systems.
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