PANews reported on October 13th that Backpack founder Armani Ferrante posted on the X platform, stating that the past few days have been completely out of control, with some events being absurd and others understandable. The industry has been hit by the largest liquidation event in history, triggering a market crash. Many people were forced to liquidate their positions, and users are questioning issues such as automatic liquidation (ADL), negative equity, and compensation. He stated that he always provides thorough answers to all questions, encourages questions, and is responsible to users. Ferrante pointed out two recent waves of FUD: one was the issue of approximately 40 users depositing funds without settling their negative equity. While this issue is real and easily resolvable, it has been misinterpreted and disseminated; the other was the widespread dissemination of inappropriate posts from Backpack's Chinese account, X, which is operated by local personnel and does not represent the company's position. He acknowledged that the industry has exposed serious structural flaws in the market. Backpack's biggest problem is a lack of liquidity, and its weakness has always been the lack of its own in-house market maker. While all exchanges require forced liquidation and automatic liquidation mechanisms, Backpack should also minimize the occurrence of such incidents. There are various solutions to this problem, including circuit breakers and vaults. Ferrante emphasized that exchanges, as critical systems in the cryptocurrency space, deserve scrutiny, and that FUD can be an opportunity to reveal weaknesses as well as strengths.PANews reported on October 13th that Backpack founder Armani Ferrante posted on the X platform, stating that the past few days have been completely out of control, with some events being absurd and others understandable. The industry has been hit by the largest liquidation event in history, triggering a market crash. Many people were forced to liquidate their positions, and users are questioning issues such as automatic liquidation (ADL), negative equity, and compensation. He stated that he always provides thorough answers to all questions, encourages questions, and is responsible to users. Ferrante pointed out two recent waves of FUD: one was the issue of approximately 40 users depositing funds without settling their negative equity. While this issue is real and easily resolvable, it has been misinterpreted and disseminated; the other was the widespread dissemination of inappropriate posts from Backpack's Chinese account, X, which is operated by local personnel and does not represent the company's position. He acknowledged that the industry has exposed serious structural flaws in the market. Backpack's biggest problem is a lack of liquidity, and its weakness has always been the lack of its own in-house market maker. While all exchanges require forced liquidation and automatic liquidation mechanisms, Backpack should also minimize the occurrence of such incidents. There are various solutions to this problem, including circuit breakers and vaults. Ferrante emphasized that exchanges, as critical systems in the cryptocurrency space, deserve scrutiny, and that FUD can be an opportunity to reveal weaknesses as well as strengths.