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Harmony to roll back Shard 0 and Shard 1 after forged ONE tokens
Harmony said the rollback will discard blocks after the confirmed forged mint, after finding that 3.01 trillion ONE were forged across multiple exploit transactions.
Harmony said it will roll back its blockchain to just before last week’s exploit after determining that more than 3 trillion of its native ONE tokens were forged. The Block reports that Harmony’s validators will roll back Shard 0 and Shard 1, the two chains that make up its sharded network, to the point before the confirmed forged mint, discarding all blocks and transactions after that time.
Harmony said it considered alternatives, including a token burn, blacklisting affected wallets, or a ONE migration, before concluding that a rollback was the “fairest and most secure” option. In its incident update, the network said the approach applies one rule to everyone, removes the forged state, and carries the lowest risk of another attack or consensus failure.
The incident was first confirmed on Aug. 12 after an unauthorized minting of ONE tokens was discovered. An independent researcher initially flagged 4 billion tokens minted through empty blocks, but Harmony later reconstructed the activity and found 3.01 trillion ONE were forged across six transactions into four exploiter wallets.
Harmony said one wallet moved nearly 2.4 trillion ONE, valued at almost $3 billion at pre-attack prices, in under two minutes. According to The Block, Harmony has traced nearly all forged tokens to wallets or services, though many passed through DEX pools and bridges, making it difficult to safely recover or burn without harming users.