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BlockBeats News, January 1st, the Flow Foundation issued a statement regarding the coordinated efforts of exchanges after the December 27th exploit incident. Since the incident, the Flow Foundation and its forensic partners have collaborated with global exchanges to protect users and resume operations, with an exchange as partners, of which an exchange has resumed services. The Flow Foundation expressed concern over the handling of the incident by a certain exchange. Within hours of the exploit, a single account deposited 150 million FLOW tokens, approximately 10% of the total token supply, into the exchange, proceeded to convert a significant portion to BTC, and withdrew over 5 million USD in funds in the brief window before the network pause. This transaction pattern indicates a flaw in the exchange's Anti-Money Laundering/Know-Your-Customer (AML/KYC) processes, shifting financial risk onto users who unwittingly purchased the fraudulent tokens. Forensic analysts have identified significant deviations from normal market behavior in FLOW trading pairs on the exchange both before and after the network pause. Requests for explanations on these transaction patterns through official channels have gone unanswered.

According to Odaily, the Flow Foundation has issued a statement regarding exchange coordination efforts following the vulnerability exploit incident on December 27. Since the incident, the Flow Foundation and its forensic partners have been working with global exchanges to protect users and restore operations. One exchange is a partner, and another exchange has resumed services. The Flow Foundation expressed concerns about how one exchange handled the incident. Within hours after the vulnerability occurred, an account deposited 150 million FLOW (approximately 10% of the total supply), converted most of the tokens to BTC, and withdrew over $5 million before the network was halted. The Flow Foundation believes this transaction pattern indicates flaws in the AML/KYC process. Legal analysts found significant transaction anomalies at the exchange both before and after the network interruption. The Flow Foundation requested clarification through operational channels but received no response, and now urgently calls for a meeting with the exchange’s top decision-makers to resolve the issue. The Flow Foundation is currently cooperating with law enforcement in the investigation.

According to Odaily, Senator Lummis stated on the X platform that the 2026 Responsible Financial Innovation Act will allow large banks to provide digital asset custody, staking, and payment services under appropriate regulation. Senator Cynthia Lummis pointed out that digital assets are an indispensable part of the financial system, and incorporating them into the regulated banking system can unlock growth potential while protecting consumers.