Harmony’s ONE sinks 40% after apparent 4B-token mint

Harmony’s ONE token dipped by about 39% on August 12 after data on the blockchain indicated the illicit creation of approximately 4 billion tokens. This could have rendered the current holders of the token nearly a quarter poorer and has also raised concerns over the security issues once again.

The mint was reported by the on-chain analyst Juiceberg. Meanwhile, Harmony said that it was in discussions with exchanges for freezing the funds related to the mint and that it was also preparing a patch and a possible rollback. However, the project did not confirm the minting of 4 billion tokens nor disclose the cause behind it.

Four billion tokens conjured from empty blocks

What makes this incident even more serious is perhaps the volume being talked about. Juiceberg estimated that there had been the creation of around 4 billion ONE through what has been referred to as “empty blocks.” With around 15 billion ONE already in circulation before the incident means that approximately 26% of the total supply was involved.

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