$FLOW
Flow ($FLOW) has capitulated, crashing 42% in a horrific sell-off following a confirmed "security incident". Major exchanges like Upbit and Bithumb immediately suspended deposits and withdrawals, trapping liquidity and causing panic.
The Flow Foundation is investigating Transaction Ingestion failures and potential exploits in the execution layer. Attackers may have exploited a vulnerability to mint or drain funds, prompting a potential "rollback" of the chain. A rollback would undo trades to erase the hacker's gains, but it is a nuclear option that destroys trust in finality.
If Flow rolls back, it signals the chain is centralized and mutable. This could permanently damage its reputation among institutional partners like Disney and NBA Top Shot who rely on stability. Validators are already furious, arguing a rollback creates "unbacked assets" for honest users.
Will the validators agree to the hard fork for a rollback? When exchanges re-open, a second wave of dumping from trapped users is likely.
This crisis pits the "Code is Law" ethos against the necessity of a bailout to save the ecosystem.
Should a blockchain EVER roll back transactions to fix a hack?
#FLOW #CryptoHack #BlockchainSecurity #Upbit
