Flow Foundation Challenges FLOW Delisting in South Korea
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FLOW’s Legal Battle in Seoul
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On March 8, Flow Foundation, in collaboration with Dapper Labs—a Web3 powerhouse known for innovations like CryptoKitties and NBA Top Shot—announced their legal move to counteract the impending delisting of FLOW on major South Korean crypto exchanges, including Upbit, Bithumb, and Coinone.
The Security Breach and Its Aftermath
On December 27, a significant protocol-level breach allowed the unauthorized minting of approximately 3.9 million duplicate FLOW tokens, leading to a temporary suspension. Initial recovery discussions considered a full blockchain rollback, which faced resistance due to concerns over double balances and potential bridge losses. Ultimately, the team executed an “isolated recovery” focusing on eliminating only the counterfeit tokens. Although no user funds on exchanges were compromised, Korean platforms continued to scrutinize FLOW. On February 12, Upbit, Bithumb, and Coinone announced the cessation of FLOW trading effective March 16, citing the December incident as the reason.
Resolution of Security Concerns
Despite initial concerns, major global exchanges like Binance, Coinbase, Kraken, and HTX have thoroughly reviewed the incident and resumed FLOW trading. Binance, in particular, dropped its monitoring tag following a joint resolution on March 6. Flow Foundation and Binance have confirmed the complete resolution of all security issues related to the incident.
Flow Foundation’s Commitment to South Korea
Korbit, one of South Korea’s longest-standing crypto exchanges, has conducted its independent review and removed the trading-caution label on February 27, continuing to support FLOW trading without restrictions. Flow Foundation expressed gratitude to the Korean community for their patience and support throughout this period.
According to Flow Foundation, filing a motion with the Seoul Central District Court represents their dedication to advocating for the Korean community through all available means. They also remain open to constructive dialogue with all stakeholders involved. Additionally, Flow Foundation is working on expanding its listing options and increasing self-custody solutions for local users. Their consumer DeFi strategy includes on-chain automation, EVM-compatible infrastructure, and an integrated lending protocol, reflecting their belief in sustained adoption beyond short-term regulatory challenges.
Expanding the Flow Network
While South Korea debates FLOW’s listing status, the foundational network continues to thrive as a leading consumer blockchain. Companies like Disney, the NBA, the NFL, and Ticketmaster are actively building on Flow, collectively distributing over 100 million NFTs to more than 13 million fans, generating substantial primary and secondary market sales.
With Flow’s ecosystem growth, the main question for investors observing the Korean legal proceedings is whether a localized delisting can genuinely disrupt its momentum.
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