Harmony to Sunset Its Layer‑1 Network and Shift Focus to AI Video, Proposes Token Migration to Ethereum

Why a Move to Ethereum Makes Sense for AI Video

Harmony, a blockchain platform known for its fast, low‑cost transactions, announced it will retire its Layer‑1 network and pivot toward an AI‑driven video creation business. The company said it will move its native ONE token to the Ethereum blockchain, where it will be used to power the new initiative.

The announcement came during a press briefing on Tuesday, with Harmony’s CEO stating the company will gradually shut down its own network over the next 12 months. The move is intended to free up resources and expertise for the emerging „remix economy,” a platform that will let creators remix existing video content using AI tools.

Harmony explained that Ethereum’s robust developer ecosystem and established DeFi infrastructure will provide the necessary support for the new AI video platform. By migrating ONE tokens to Ethereum, Harmony can leverage existing smart‑contract standards and liquidity pools, reducing the time needed to launch the remix economy. The company also plans to issue a wrapped version of ONE on Ethereum, ensuring token holders can still participate in governance and rewards without maintaining a separate chain.

How the Remix Economy Will Transform Video Creation

The transition will involve a token swap, where ONE holders can exchange their tokens for wrapped ONE on Ethereum at a 1:1 ratio. Harmony will provide a detailed migration guide and a dedicated support team to assist validators and users during the process. The company emphasized that the swap will be conducted securely, with audits from third‑party firms to prevent loss of funds.

The new AI video initiative aims to democratize content creation by allowing users to remix existing footage, add AI‑generated effects, and distribute the results through a decentralized marketplace. Harmony’s CEO said the platform will support real‑time collaboration, enabling multiple creators to edit a single video simultaneously. The system will also incorporate a reputation mechanism, rewarding high‑quality contributions with token incentives.

Harmony plans to partner with leading AI research labs to integrate state‑of‑the‑art generative models. The company believes that combining blockchain transparency with AI creativity will create a new genre of „remixed media.” Early prototypes will be tested with a select group of creators before a public beta launch in Q4.

Will the Transition Hurt Current Users?

Many validators and developers have expressed concern about the network shutdown. Harmony’s leadership reassured them that all validator nodes will receive support during the migration, including technical assistance and compensation for downtime. The company also announced a phased decommissioning schedule, giving users ample time to transition their services.

In addition, Harmony will maintain a bridge that allows assets to move between the old Layer‑1 chain and Ethereum. This bridge will remain operational until the final shutdown date, ensuring that users can still access their holdings and smart contracts during the transition period.

Frequently Asked Questions

What happens to Harmony’s existing smart contracts on its Layer‑1 chain? All contracts will be archived, and developers can port them to Ethereum using the provided migration tools. The bridge will allow temporary interaction until the final decommission.

Will the value of ONE tokens change after the migration? The token swap maintains a 1:1 ratio, so the nominal value remains the same. However, market dynamics on Ethereum could affect price, as the token will now trade on major exchanges.

How will Harmony support validators during the shutdown? Validators will receive a compensation package and technical support. The company will also provide a detailed timeline and migration checklist to minimize disruptions.