Following the December 27 exploit, the Flow Foundation has issued a formal update detailing ongoing coordination with global exchanges to protect users and restore operations. In a concerted effort with forensic partners, the Foundation has engaged with major venues including Kraken, Coinbase, and Upbit, with Kraken reporting a return to service. Reports indicate a single account deposited 150 million FLOW tokens—about 10% of the total supply—then exchanged a large portion for BTC and withdrew over $5 million before the network paused, underscoring potential gaps in AML/KYC controls and shifting risk to unsuspecting token buyers.
Independent forensic analysis has noted atypical activity on the involved FLOW trading pairs prior to and after the pause, prompting requests for explanations through official channels. As exchanges strengthen due diligence and compliance measures, market participants should monitor for further disclosures and ensure risk management practices reflect evolving post-incident safeguards.
Source: https://en.coinotag.com/breakingnews/flow-flow-exploit-flow-foundation-highlights-aml-kyc-gaps-after-150m-flow-deposited-and-5m-withdrawn-ahead-of-network-pause-as-kraken-coinbase-and-upbit-resume-services
