Flynn ostensibly resigned because he provided Vice President Mike Pence with incomplete information about a conversation he had with the Russian ambassador, which turned out to include a discussion of recent sanctions, contrary to his earlier denials. Trust is crucial; the resignation was warranted.
That said, the sanctions were largely bogus, and were applied not just to punish Russia for spying on the U.S. (both countries clearly spy on each other), but to substantiate the Democratic Partys sore-loser conspiracy theory that Russia was responsible for electing Donald Trump.
There is no concrete evidence to support that theory, and there is no evidence (yet) that Flynn did anything but discuss sanctions in the most general terms. He did not break the Logan Act, nor any other law, apparently.
Whether Flynn deliberately concealed the contents of his conversation from Vice President Pence, or merely forgot what had been said, he was caught because the Department of Justice had been eavesdropping on the conversation. And one of the officials responsible for ordering the eavesdropping was none other than Acting Attorney General Sally Yates, who forced President Trump to fire her when she defied her duty to enforce his executive order on immigration, however, controversial.
Aren’t these types of conversations routinely taped ? Whatever he said to the ambassador it doesn’t excuse lying.