[Backpack Founder Responds to Recent FUD, Pinpoints Liquidity Shortage as the Core Issue] Backpack founder Armani Ferrante posted on the X platform to address two recent waves of FUD surrounding the platform. He stated that the recent market crash was triggered by the largest liquidation event in history, leading users to question issues such as Auto-Deleveraging (ADL), negative balances, and compensation. Ferrante provided a detailed explanation of the sources of the two waves of FUD: first, around 40 users deposited funds before their negative balances were settled—a real issue but one that is easily resolved, yet it was spread out of context; second, inappropriate content was posted by the Backpack Chinese X account, which is operated by a third party and does not represent the company's stance. Ferrante acknowledged the industry's severe structural deficiencies and pointed out that Backpack's core issue lies in insufficient liquidity and the lack of support from internal market makers. He proposed multiple solutions, including circuit breakers and Vaults, while emphasizing that exchanges, as critical infrastructure for the industry, should accept external scrutiny and view FUD as an opportunity to improve and showcase their strengths.