- Sam Bankman-Fried and his team continue to defend themselves.
- SBF’s X account published a lengthy document on Thursday claiming the exchange was not truly insolvent.
- The exchange’s native token diverged from broader declines, rising more than 2%.
An X account currently controlled by a friend of Sam Bankman-Fried shook the crypto market with a post asserting that FTX was not insolvent.
In the 15-page document, the authors argue that FTX faced a liquidity crisis that “was on track to be resolved by the end of the month” until an external attorney stepped in and took control. The statement reads:
FTX was never bankrupt, even when its lawyers sent the company into bankruptcy.
[SBF says:]
This is where the money went. https://t.co/HVRwEw5Z1k https://t.co/5DrA13L5YE pic.twitter.com/O6q77DvmTn
— SBF (@SBF_FTX) October 31, 2025
The disgraced founder and his team are believed to have prepared the document, which emphasizes that the exchange did not file for bankruptcy because of a plan to commit fraud and misappropriate billions of customer funds, as the court has found. Instead, they maintain FTX entered a liquidity crisis following “a sudden lack of cash.”
Meanwhile, FTX’s native token, which has lacked a clear utility since the exchange’s collapse, moved bullish amid the latest developments.
FTT rose more than 2% on its daily chart, trading at $0.8473.
Trading volume climbed by over 25%, signaling renewed optimism.
By comparison, total global cryptocurrency market capitalization was essentially flat over the past 24 hours, up only 0.08% to $3.7 trillion.
FTX had sufficient assets during the collapse
The document claims that FTX and sister firm Alameda held assets worth $25 billion and had an equity value of $16 billion against liabilities of $13 billion when they collapsed in 2022.
That would imply a net value of around $28 billion. The filing adds:
During the crisis, asset values and (presumed) equity took a temporary hit, but even at the height of the crisis the companies remained solvent — even ignoring equity.
SBF and his team assert their broader holdings would be worth about $136 billion if attorneys had not sold invested assets. The valuation cited includes, among other positions, a $7.6 billion stake in broker Robinhood and a $14.3 billion investment in AI startup Anthropic.
Community reaction
Crypto enthusiasts and online investigators have largely rejected SBF’s claims.
Some view the filing as a desperate attempt to sway public opinion or to influence future legal outcomes, drawing parallels to recent political interventions involving other industry figures.
Others questioned why FTX suspended withdrawals if, as the document claims, there were sufficient assets to cover creditors.
A DeFi enthusiast and X user known as Hanzo referenced a past exchange failure and commented:
Many centralized exchanges went through stress tests after some massive fuck-ups, and they’re all here.
FTT price outlook
FTT’s price gained more than 2% amid the announcement, trading around $0.8473 as rising volume highlighted short-term enthusiasm.
However, any gains for the exchange token may be fleeting. Broad market weakness and negative community response to the team’s assertions are likely to weigh on the token’s recovery prospects.