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Due to the Flow attack incident, loan settlement on the Flowty platform has been suspended.
According to Push1, due to the attack on the Flow blockchain on December 27, the NFT collateral loan ecosystem has fallen into a “legal vacuum.” As the network execution environment was temporarily suspended, multiple borrowers defaulted due to their inability to make timely repayments. The lending platform Flowty stated that since the network has not yet fully recovered (such as token exchange restrictions), all loan settlements have been suspended as of yesterday. Currently, loans that are due are neither settled nor considered defaulted, remaining in a “pending” state. This move aims to prevent network failures from causing forced defaults and to protect users’ NFT assets. Currently, Flowty has disabled the new loan feature, and repayment windows will be reopened based on ecosystem stability.