Backpack's founder commented on the recent two waves of FUD on the platform, stating that the biggest issue is insufficient liquidity.

Backpack founder Armani Ferrante wrote on the X platform that the past few days have been completely out of control, with some things being absurd and others understandable. The industry has been hit by the largest liquidation event in history, triggering a market crash. Many people have been forced to liquidate their positions, leaving users with questions about automatic deleveraging (ADL), negative equity, and compensation.