AI Polkadot Parachain Phala Votes To Fully Switch To Ethereum L2

Phala Network, an AI-focused parachain on Polkadot, has voted to transition entirely to Ethereum Layer 2, marking a major strategic shift.

According to a community proposal passed on September 27, Phala will migrate its ecosystem, staking, and governance to Ethereum to achieve greater scalability and enterprise-grade performance.

The network’s native PHA tokenholders will receive an ERC-20 version at a 1:1 ratio, with the migration expected to start before November 20.

Phala, which provides decentralized and privacy-preserving cloud computation for AI-driven Web3 applications, already launched a functioning Ethereum L2 earlier this year.

The move reflects a growing industry trend of Polkadot-based projects aligning with Ethereum for better developer tools and enterprise integrations. Project lead “doylegxd” described the shift as a step toward consolidating confidential computing, governance, and staking within a more robust EVM-compatible ecosystem to attract corporate clients and enhance cross-chain interoperability.

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