Flow Foundation and Dapper Labs have filed a legal request with the Seoul Central District Court to stop the planned delisting of the FLOW token from the South Korean crypto exchanges. The firms are asking the court to temporarily suspend the decision by the exchanges, including Upbit and Coinone, that announced the end of trading support for the token.
Reason behind the Delisting
The decision to delist came after the security exploit in the Flow blockchain in December 2025. During the incident, an attacker exploited a protocol vulnerability and was able to duplicate the token worth about $3.9 million. Later reports confirmed that the users’ balances and funds were not affected. Validators on the network quickly took action by pausing the blockchain and working with the exchanges to freeze.
Developers discussed several possibilities for recovery options after the attack, and one proposal was a full blockchain rollback, which would restore the network to a previous state before the exploit occurred. Critics warned that the rollback could create problems such as duplicate balances for users who have moved assets out of the network and financial losses for users who transfer assets into the network during that time. Instead of rolling back the entire chain, they implemented an isolated recovery plan, which involved identifying and destroying only the duplicate token.
Flow Foundation argues that the token continues to trade normally on the major global platforms, which include Binance, Coinbase, and Kraken. The foundation maintains that this indicates the project’s continued viability and suggests a reconsideration of the delisting decisions.
In the court filing, Flow Foundation states that the request to suspend the delisting is intended to protect Korean users and investors while the situation is fully reviewed. The firm said that it remains open to discussions with the exchanges to continue pursuing additional listings within South Korea. This legal challenge for the Flow Foundation shows that the growing tension between the blockchain projects and crypto exchanges is following security incidents.
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