Why Phala is Moving to Ethereum

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Phala explained that renewing its Polkadot parachain slot would mean sticking with “limited scalability infrastructure.”
Instead, Ethereum offers:

Lower operational overhead

GPU-based confidential compute support

Integration with Ethereum liquidity and tooling

The shift marks one of the first complete exits from Polkadot to Ethereum L2.

[Abdul Khan]

Moving to Ethereum gives PHA access to a much larger ecosystem. The real challenge will be managing gas costs efficiently.

[Nahid Hossen]

This transition might actually help Phala attract more developers and dApps. Ethereum is still the liquidity hub after all.