Phala has announced its plan to migrate from the Polkadot network to an Ethereum layer 2 (L2) solution, aiming to enhance scalability and support for confidential AI and GPU computing. The migration will involve converting the PHA token to an ERC-20 token at a 1:1 ratio, with the conversion process set to be completed by November 20. The transition will maintain existing staking, rewards, and governance mechanisms on the new L2 platform. This strategic move is designed to reduce operational overhead and better align with the growing demand for enterprise-grade confidential computing solutions.