Harmony Plans to Shut Down Its Layer 1 Blockchain and Migrate Tokens to Ethereum

WHY IT MATTERS

A Layer 1 blockchain is like a foundational highway system that other applications are built on top of — think of it as the base infrastructure, similar to how the internet itself works underneath websites. When a Layer 1 shuts down, it is like closing an entire highway network, which affects everyone who built businesses or held assets on it. Harmony's decision to move its token to Ethereum is essentially like a small country deciding to abandon its own currency and adopt another country's money instead. For people new to crypto, this is a reminder that not all blockchain projects survive long-term, and that the tokens and applications built on a particular chain depend on that chain continuing to operate. A token migration means existing holders would need to swap their old tokens for new ones on a different network, which can be a complex process.