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Feedback literacy is vital for effective feedback engagement. Traditionally, students have access to feedback from human beings, but now students can interact with Generative artificial intelligence (GenAI) to gain feedback information. The interaction with GenAI feedback can potentially facilitate feedback literacy; however, its effect has been less explored. This study used a mixed-methods design with first-year undergraduates to explore the effect of GenAI and human peer feedback on student feedback literacy development. We also explored how students self-regulated feedback when they engaged with feedback. The results revealed that GenAI significantly enhanced student feedback literacy compared to human peers. The interviews showed students’ behaviours and perceptions when they self-regulated in feedback processes. Implications and suggestions for future studies were discussed.