Exchange tightens oversight as Flow blockchain works to restore ecosystem following security breach
Binance has taken decisive action against the FLOW token following a recent security incident on the Flow blockchain, signaling increased risk scrutiny after an exploit resulted in millions of dollars in losses.
Binance Removes FLOW/BTC Trading Pair
In a Friday announcement, Binance confirmed it will delist the FLOW/BTC spot trading pair as part of a broader cleanup that removes nine spot trading pairs from the platform. The delisting is scheduled to take effect on Saturday and reflects Binance’s ongoing review of trading activity, liquidity, and risk exposure.
Separately, Binance added FLOW to its monitoring tag list, alongside three other tokens. Assets on this list are flagged for heightened volatility and elevated risk and face a higher likelihood of being delisted if they fail to meet the exchange’s listing standards. Binance stated the decision followed recent internal reviews, without directly referencing the exploit.
Details of the Flow Blockchain Exploit
The actions come after a $3.9 million exploit on the Flow blockchain, during which attackers allegedly deposited stolen FLOW tokens on an exchange, converted part of the funds to Bitcoin, and withdrew them. Flow indicated concerns over a potential AML/KYC failure at an unnamed exchange.
The Flow Foundation said it is close to full ecosystem restoration, focusing on user account recovery and removal of fraudulent tokens, with a comprehensive post-mortem report expected imminently.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.