Latest Phala Network (PHA) News Update

By CMC AI
25 January 2026 06:01PM (UTC+0)

What is the latest news on PHA?

TLDR

Phala Network navigates its Polkadot sunset while forging key AI partnerships and security upgrades. Here are the latest developments:

  1. Polkadot Parachain Sunset (19 November 2025) – Phala finalized its Polkadot migration, activating Ethereum L2 with secure asset transfers.

  2. NEAR AI Cloud Integration (3 December 2025) – Phala powers confidential computing for NEAR's privacy-focused AI products reaching 100M+ users.

  3. Security Upgrades Live (13 August 2025) – Phala Cloud added 2FA and session management for enhanced infrastructure protection.

Deep Dive

1. Polkadot Parachain Sunset (19 November 2025)

Overview: Phala Network completed its transition from Polkadot to Ethereum Layer 2 on November 19, freezing Polkadot parachain assets and enabling claims via the Phala App. This followed a community-approved proposal to prioritize Ethereum's liquidity and tooling for confidential AI workloads. User assets remained secure during the migration, with no holder action required.
What this means: This is bullish for PHA because it reduces operational costs and taps into Ethereum's larger developer ecosystem, potentially accelerating enterprise adoption of Phala's confidential computing. However, bearish risks include temporary disruption risks during full L2 integration.
(Phala)

2. NEAR AI Cloud Integration (3 December 2025)

Overview: NEAR Foundation's new AI Cloud and Private Chat products, launched December 3, leverage Phala's Trusted Execution Environments (TEEs) for hardware-verified privacy. The integration enables NEAR to process AI requests in isolated environments without data harvesting, serving 100M+ users across Brave Nightly and OpenMind AGI.
What this means: This is bullish for PHA because it validates Phala's privacy tech in high-scale AI applications, opening revenue streams from enterprise partnerships. The bearish angle is competitive pressure from rival confidential computing platforms like Secret Network.
(Coinspeaker)

3. Security Upgrades Live (13 August 2025)

Overview: Phala Cloud deployed two-factor authentication (2FA) and active session management on August 13, hardening security for its confidential computing infrastructure. These upgrades followed vulnerability disclosures affecting DDR5 hardware, with Phala emphasizing its Tier-3+ data center partnerships and upcoming Proof-of-Cloud framework.
What this means: This is neutral-to-bullish for PHA because enhanced security reduces breach risks for sensitive AI/enterprise workloads, potentially attracting cautious clients. However, it doesn't directly drive new adoption without complementary product growth.
(Phala)

Conclusion

Phala's strategic pivot to Ethereum L2 and high-profile AI integrations position it as a privacy leader, though execution in scaling confidential computing remains critical. How will Phala balance enterprise adoption with decentralized values in its next growth phase?

What are people saying about PHA?

TLDR

Phala's vibe is a confident hum of migration success and AI-category momentum. Here’s what’s trending:

  1. Recent price surges in AI and Polkadot categories highlight growing speculative interest.

  2. The project's official channel celebrates the completed migration to Ethereum L2 as a major milestone.

  3. Trader analysis shows mixed sentiment, balancing bullish momentum signals with overbought cautions.

Deep Dive

1. @WhisprNews: PHA surges in AI & Polkadot categories bullish

"📈 Ganadores de hoy en la categoría de Agentes de #IA (21-01-2026)... Phala Network $PHA +14.26%... 📈 Ganadores de hoy en la categoría #Polkadot (28-12-2025)... Phala Network $PHA +6.06%" – @WhisprNews (3.7K followers · 2026-01-21 00:43 UTC) View original post What this means: This is bullish for PHA because it shows the token is gaining significant traction and outperforming peers within high-demand narratives like AI agents and the Polkadot ecosystem, which can attract momentum-driven capital.

2. @PhalaNetwork: Polkadot parachain sunset, Ethereum L2 go-live bullish

"Today’s the day: Phala’s parachain officially sunsets... ✅ All assets are secure & protected ✅ Claims open shortly via Phala App ✅ L2 activation imminent Welcome to the next chapter of Phala!" – @PhalaNetwork (143K followers · 2025-11-19 23:15 UTC) View original post What this means: This is bullish for PHA because it confirms the successful execution of a major strategic pivot from Polkadot to Ethereum, reducing operational uncertainty and potentially unlocking greater liquidity and developer activity within the larger EVM ecosystem.

3. @gemxbt_agent: Technical analysis shows bullish structure mixed

"PHA is currently experiencing a bullish market structure, with the price above the 5, 10, and 20-hour moving averages... The RSI is approaching overbought territory, and the MACD indicates bullish momentum, supported by increased volume." – @gemxbt_agent (45.7K followers · 2025-08-23 10:01 UTC) View original post What this means: This presents a mixed outlook for PHA; the alignment of price above key moving averages with strong momentum is positive for short-term trends, but the nearing overbought RSI suggests the rally might be due for a consolidation or pullback, indicating caution for new entries.

Conclusion

The consensus on PHA is bullish, driven by its successful infrastructure migration and strong performance within trending crypto sectors. The community views the move to Ethereum L2 as a growth catalyst, while traders note the token's technical strength tempered by overbought risks. Watch for increased on-chain activity and developer engagement on the new Phala Ethereum L2 as a key signal of the migration's long-term success.

What is next on PHA’s roadmap?

TLDR

Phala Network's development continues with these milestones:

  1. Proof-of-Cloud Expansion (2026) – Extending verified hardware security to major cloud providers like Google Cloud and Azure.

  2. Confidential AI Model Deployment (Ongoing) – Enabling secure, privacy-preserving AI workloads within Trusted Execution Environments.

  3. Enterprise Adoption & Partnerships (Ongoing) – Integrating confidential compute into broader ecosystems like NEAR's AI Cloud.

Deep Dive

1. Proof-of-Cloud Expansion (2026)

Overview: A core initiative is expanding the Proof-of-Cloud framework to major cloud providers. This framework, co-developed with partners like Secret Network, uses cryptographic attestation to verify that workloads run on genuine, secure hardware within data centers (Phala). The goal is to extend beyond current OVH bare-metal support to include Google Cloud Platform (GCP), Microsoft Azure, and Amazon Web Services (AWS), creating a decentralized, verifiable cloud compute network.

What this means: This is bullish for PHA because it directly enhances the network's utility and security proposition for enterprise clients. A broader, verified infrastructure base makes Phala Cloud a more credible and scalable option for sensitive AI and data processing, potentially driving increased demand for its confidential compute services.

2. Confidential AI Model Deployment (Ongoing)

Overview: Phala is actively deploying and supporting confidential AI models on its cloud. A key example is the launch of the GPT-OSS 120B-parameter open-source LLM inside a secure TEE, providing end-to-end confidential AI (Phala). This builds on the live GPU TEE Marketplace and Confidential AI API, which allow developers to deploy and scale private AI workloads.

What this means: This is bullish for PHA as it captures value in the high-growth AI sector by addressing critical privacy concerns. By offering a unique, hardware-backed confidential AI infrastructure, Phala could attract developers and enterprises handling proprietary data, increasing network usage and the utility of the PHA token for settling compute costs.

3. Enterprise Adoption & Partnerships (Ongoing)

Overview: Phala's technology is being integrated into larger ecosystems through strategic partnerships. A significant development is NEAR Foundation's adoption of Phala's confidential computing for its AI Cloud and Private Chat products, which reach over 100 million users (Coinspeaker). This follows existing collaborations with Polygon, Lens Protocol, and The Graph.

What this means: This is bullish for PHA because it validates the technology's market fit and drives adoption through established channels. Partnerships with major platforms like NEAR can lead to significant, sustained demand for Phala's compute resources, moving beyond niche use to mainstream utility.

Conclusion

Phala Network's roadmap is firmly focused on scaling its unique value proposition: verifiable, confidential cloud compute for AI. The post-migration trajectory leverages Ethereum's ecosystem while executing on key technical expansions and high-value partnerships. Will enterprise demand for confidential AI be the catalyst that drives the next phase of network growth?

What is the latest update in PHA’s codebase?

TLDR

Phala Network's core development activity centers on its confidential cloud platform, with recent beta releases focusing on security and infrastructure.

  1. Phala Cloud v1.1.0-beta.13 (4 Dec 2025) – Latest pre-release in an active beta series for the confidential compute platform.

  2. Security Upgrades for Phala Cloud (13 Aug 2025) – Added two-factor authentication and session management to enhance user account security.

  3. GPU TEE Marketplace Launch (17 July 2025) – Enabled confidential AI model deployment and a marketplace for verifiable, private GPU compute.

Deep Dive

1. Phala Cloud v1.1.0-beta.13 (4 Dec 2025)

Overview: This is the most recent pre-release in the v1.1.0 beta series for Phala Cloud, the network's flagship product for confidential cloud computing. It represents ongoing, iterative development.

The release is part of a rapid sequence of beta updates (v1.1.0-beta.12 on 28 Nov, beta.11 on 19 Nov, etc.), indicating active refinement and testing of the platform. While specific commit notes aren't detailed, such a frequent release cadence typically includes bug fixes, performance tweaks, and minor feature additions to stabilize the software ahead of a full launch.

What this means: This is neutral for PHA as it reflects standard, ongoing development work rather than a major new feature. The consistent release pace is a positive signal of developer activity and commitment to improving the core cloud product, which could lead to a more reliable and feature-rich service for users in the future.

(Phala-Network/phala-cloud)

2. Security Upgrades for Phala Cloud (13 Aug 2025)

Overview: This update introduced critical security features for Phala Cloud user accounts, specifically Two-Factor Authentication (2FA) and active session management.

2FA adds an extra layer of protection beyond just a password, significantly reducing the risk of unauthorized account access. Session management gives users visibility and control over their active logins, allowing them to terminate suspicious sessions from unfamiliar devices or locations.

What this means: This is bullish for PHA because it directly addresses security, a paramount concern for a platform handling confidential data and compute. By implementing enterprise-grade security practices, Phala Network builds greater trust with developers and enterprises, making its confidential cloud service a more viable and secure option for sensitive workloads.

(Phala)

3. GPU TEE Marketplace Launch (17 July 2025)

Overview: This was a major product launch that made Phala Cloud's GPU Trusted Execution Environment (TEE) capabilities publicly available. It allows developers to deploy AI models inside secure, hardware-isolated enclaves and created a marketplace for buying and selling this verifiable private compute power.

Key features launched included confidential AI model deployment, a marketplace for GPU TEE resources, and an OpenAI-compatible API. This enables users to run AI workloads where both the model and the data remain completely private, with cryptographic proof of the hardware's integrity.

What this means: This is bullish for PHA because it unlocks a core utility for the network: monetizing private, verifiable compute for AI. By providing a unique solution for confidential AI, Phala taps into a high-demand market, potentially driving usage and demand for its network resources and the PHA token.

(Phala)

Conclusion

Phala Network's recent codebase evolution is sharply focused on maturing its Phala Cloud product, emphasizing enterprise-ready security and the commercialization of its confidential AI compute capabilities. How will user adoption metrics respond as these beta features stabilize into a full production release?

CMC AI can make mistakes. Not financial advice.