According to ChainCatcher, the Avalanche Foundation posted on X that it has reached an agreement to repurchase all AVAX tokens sold to the Luna Foundation Guard (LFG) before April 2022, and is currently awaiting approval from the bankruptcy court.

This move ensures that LFG does not violate the restrictions on the use of tokens in the original agreement and protects the tokens from the complexity of liquidation by the bankruptcy trustee, while returning 1.97 million AVAX to the foundation for holding.