Follow-up after the Flow blockchain attack: NFT lending platform suspends settlements, FLOW drops over 50%

TokenSherpa · 2025-12-31T20:40:11+00:00

The Flow blockchain experienced a network outage that severely impacted the NFT lending market, with 11 loans defaulting upon maturity and borrowers unable to repay on time. The platform suspended loan settlements, froze interest, and the market reacted strongly, causing the FLOW token to plummet by 57%. The incident highlights the fragility of financial applications relying on blockchain infrastructure.

TokenSherpa

2025-12-31 20:40:11

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【CryptoWorld】Flow blockchain experiences network outage, and the aftershocks continue to impact the entire ecosystem. The most affected is the NFT lending market — the platform reported a set of alarming data: 11 loans could not be traded and expired during the network freeze, of which 8 were directly in default.

What’s even more heartbreaking is that even after the blockchain has resumed operation, the problems are far from over. Restricted token exchange functions still remain a thorn in the side, and borrowers are unable to make timely repayments. The platform was forced to make a tough decision — suspend all loan settlement operations in an attempt to plug more defaults. The cost? Lenders’ interests were frozen, borrowers’ repayments went down the drain, and new loan transactions were completely shut down.

Market reactions to all this are straightforward. The FLOW token price has dropped approximately 57% since the incident occurred and is now hovering around $0.086. A technical failure has evolved into a crisis of market confidence. This also serves as a reminder to the entire Web3 community of an old problem: when on-chain infrastructure encounters issues, how fragile are the financial applications built on top of it.

FLOW-7,09%

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MEVHunter_9000

· 7h ago

Damn, is Flow about to die... FLOW dropped 57%? Is this what a once-starred chain looks like? --- Another "network outage"... How many people got caught up in it? --- 8 defaults? The platform directly paused settlements, are they serious... --- Tokens hit the floor, lending platforms froze, who can withstand this? --- Flow's NFT lending hasn't recovered yet, and now this. --- $0.086, I can't believe it, can it get any worse? --- Technical failures turn into a confidence crisis, the same old tricks. --- Pausing settlements and that's it? What about the money from before? --- That's why I don't touch high-risk chains... Flow, this guy lost big. --- Interest frozen, repayments ruined, a double kill.

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FUD_Whisperer

· 7h ago

Flow messed up again? Now the trust is completely shattered --- 57% decline... lending platforms are directly freezing assets, this is a sign of collapse --- Really, this is why I never touch small chain lending products --- Wait, 8 defaults? Can't even make repayments on time? This is a disaster --- Flow's technical failure this time has directly paralyzed the entire ecosystem, the market's reaction is not excessive --- Another "will recover" promise, but it was directly suspended from settlement, hilarious --- Can FLOW turn around from here? Feels like the damage is quite deep this time --- Borrowers' interest frozen and still getting trapped, that's the most heartbreaking --- Flow: I'm not trying to die, I'm just on the path to dying --- $0.086... Is there still someone buying the dip? I dare not anymore

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GasFeeAssassin

· 7h ago

Is this a joke? Flow is really a living textbook. The promised decentralization resulted in a complete crash when it lagged. --- Another good show. The lending platform was directly suspended. Who dares to buy in when FLOW drops like this? --- I just want to know how those 8 people who defaulted are feeling now. Major losses, huh? --- A typical chain reaction: technical failure turns into a confidence crisis. Is this the fate of L1? --- Are people still bottom-fishing? I can't understand this anymore. Is this a market dump or what? --- Pause settlement? That move is really clever. Borrowers can't repay, lenders can't get their funds back—everyone's happy, haha. --- It's just a network outage, and it drops like this? The market just has no confidence. --- Flow is completely cooled off this time, it feels like. I've never seen a recovery so difficult.

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EntryPositionAnalyst

· 7h ago

Damn, did Flow mess up again? Pausing settlements is just unbelievable, this is outrageous --- Surviving a 57% drop shows that some people really believe in this blockchain --- NFT lending platforms have directly become the bagholders this time, who will cover 8 defaults? --- Tokens can't be exchanged, repayments can't be made, this design is brilliant haha --- Flow is probably going to repeatedly hit the ceiling around 0.08, technical failures turning into trust crises is all too common --- The borrowers are crying because they can't get their interest either, this is truly a rug pull --- The Flow team needs to reflect seriously, this interruption exposed issues beyond just network stability --- Another "we are fixing it" story, investors are already numb --- Network recovery ≠ problem solved, the platform still has no solutions

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CryptoTarotReader

· 7h ago

Flow has really pulled it off this time, triggering a chain reaction... 8 defaults directly broke the defense. Pause settlements? Then what’s the point of lending and borrowing? Who’s responsible for frozen interest? A 57-point drop is gone, this is what they call "decentralized" risk, still a bit outrageous. NFT lending has had many issues for a long time, now the reputation has just collapsed.

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