After reading a bunch of comments, I only have a few questions 👀

1. Since there's no hope, why not let it rise again?

2. It rises, and then the big players haven't sold?

3. If we're talking about a useless token, its price is quite high, why not switch positions?

The same question asks deep within the soul, why don’t I sell as a big player? 😆

Attached: Remember that FTX is going through Chapter 11.

Bankruptcy restructuring in the United States (Chapter 11 Bankruptcy) is a legal process designed to help companies restructure during financial difficulties and avoid complete liquidation or closure. The purpose of bankruptcy restructuring is to give companies the opportunity to rearrange debts, cut costs, and continue operations. Therefore, companies undergoing bankruptcy restructuring typically **continue to operate** rather than shutting down directly.

Specifically, here are some characteristics and processes of bankruptcy restructuring:

1. **Debt Restructuring**: Companies negotiate with creditors to rearrange debt repayment methods, such as extending repayment periods, reducing debt amounts, or converting debt to equity.

2. **Court Protection**: During the bankruptcy restructuring process, companies are protected by the court, and creditors cannot immediately take legal actions (such as asset seizure).

3. **Business Adjustments**: Companies may close unprofitable departments, cut costs, sell off assets, or bring in new investments.

4. **Creditor Voting**: Restructuring plans need to be approved by major creditors and become effective upon court approval.

5. **Resuming Operations**: Once restructuring is successful, companies usually continue to operate with healthier financial conditions.

However, restructuring does not guarantee success. If a company fails to resolve financial issues during the restructuring process, it may ultimately need to undergo **bankruptcy liquidation (Chapter 7 Bankruptcy)**, which involves ceasing operations and selling assets to repay debts.

Many well-known companies (such as airlines, retailers, etc.) have previously filed for bankruptcy restructuring and ultimately succeeded in recovering and continuing operations.

FTX filed for bankruptcy restructuring under Chapter 11 of U.S. Bankruptcy Code in November 2022, aiming to restructure its business and repay creditors.

In October 2024, a U.S. court approved FTX's bankruptcy restructuring plan, allowing it to use recovered assets to repay customers, involving an amount of approximately $14 billion.

However, according to recent reports, FTX has abandoned plans to restart the trading platform and is focusing on liquidating assets to repay customers.

Therefore, FTX currently does not plan to resume operations but is focused on asset liquidation and debt repayment.

Is it possible for FTX to suppress news in preparation for a future restart and empower its FTT token? This is an interesting yet complex question that requires consideration of several aspects:

### 1. **Transparency in Legal and Bankruptcy Procedures**

- In the United States, bankruptcy restructuring (Chapter 11) typically requires a high level of transparency, with all significant decisions needing to be disclosed and approved by the court and creditors.

- If FTX attempts to conceal information, it may violate the law, further damaging its reputation and affecting the feasibility of its restart.

### 2. **Role of FTT Tokens**

- FTT tokens were once an important part of the FTX ecosystem, serving as tools for trading fee discounts and other functionalities. If FTX successfully restarts in the future, FTT may be reassigned uses.

- However, the market confidence in FTT has been severely damaged due to the FTX collapse, and a very strong plan needs to be developed in the future to rebuild trust.

### 3. **Possibility of Suppressing Information**

- If FTX indeed has plans to restart but wishes to control market expectations, they may choose to handle related plans discreetly. This can avoid premature external speculation, especially regarding speculative behavior towards the FTT token.

- However, the risk of suppressing news is that once exposed, it may further undermine FTX's credibility and impact its legitimacy to restart.

### 4. **Potential Empowerment of FTT**

- If FTX restarts and re-empowers FTT, it may adopt a model similar to BNB, offering trading discounts, airdrop rewards, or other incentives.

- However, the future value of FTT will heavily rely on whether FTX can rebuild its business and attract sufficient user traffic.

### 5. **Impact on the Market and Investors**

- If FTX restarts and tries to reuse FTT tokens, market reactions will depend on whether FTX can truly resolve past trust issues and provide a sustainable business model.

- Considering the high volatility and speculative nature of the crypto market, the value of FTT may experience fluctuations in the short term, but long-term value will depend on actual applications and demand.

### Summary

The possibility of FTX restarting operations and empowering the FTT token is not completely absent, but it needs to overcome serious trust crises, legal challenges, and market pressures. If FTX chooses to suppress news to wait for the right moment to restart, this may be a strategy, but it carries high risks and is difficult to execute without being noticed in the current regulatory environment. Investors should approach such possibilities with caution and be wary of related market speculation.

FTT tokens have not yet been fully delisted or sold for compensation, which may involve the following reasons:

### **1. Limitations of Debt Liquidation and Legal Procedures**

- **Under the control of court and bankruptcy proceedings:**

All of FTX's assets (including FTT tokens) are managed under bankruptcy proceedings, and any significant asset disposals (such as token sales) require court approval to ensure fair treatment of all creditors.

- **Priority of Creditor Interests:**

The core of the bankruptcy process is to ensure that all creditors receive the maximum possible compensation according to priority. If FTX dumps a large amount of FTT on the market, it could lead to a price collapse, ultimately weakening its remaining value, which would be detrimental to creditors.

### **2. Considerations of Market Value and Speculative Behavior**

- **Market Value Still Exists:**

Although the value of FTT has significantly decreased, it still has a certain market price (based on speculation or expectations of future restart). Directly liquidating the token may lead to market panic and further depress its value.

- **Prevent unnecessary market volatility:**

A large-scale sale of FTT could lead to further collapse of market trust, affecting not only FTT but also potentially impacting the prices of other crypto assets.

### **3. Potential Restart Plans**

- **Reserving possibilities for the future:**

FTX or the management team may still wish to retain FTT as part of a future restart. The value of FTT is closely tied to the operations of the exchange; if the exchange restarts, FTT may regain value.

- **Maintaining potential uses for the token:**

If exchanges can operate again in the future, FTT tokens may still be used to incentivize users or as a core asset in the restart process.

### **4. Lack of Practical Execution Plans**

- **Liquidity challenges of token supply:**

Selling a large amount of FTT is not an easy task. The market's liquidity is limited, and large-scale sales may cause a price crash, further harming user interests.

- **Comprehensive agreement not yet reached:**

There may still be no consensus among creditors, the court, and management, especially regarding how to dispose of the tokens, when to sell, and how to distribute the proceeds.

### **5. Credibility Issues**

- **Direct sales may trigger more controversy:**

If FTX redeems FTT tokens for compensation, but other investors in the market incur losses, it could further damage FTX's credibility and even lead to legal disputes.

- **Avoiding more legal challenges:**

Using FTT tokens as compensation tools may face protests from investors, as many users may not accept holding a token that has almost lost its functionality as a means of settlement.

### **Possible Future Scenarios**

1. **Liquidating FTT:**

If FTX's restart plan is completely abandoned, it may opt to liquidate FTT assets for creditor repayment, but this requires finding the optimal timing amidst market fluctuations.

2. **Token repurchase or transformation:**

FTX may choose to use FTT for user compensation or redesign it for new uses to assist in the platform's future restart.

3. **Market Sale:**

If the value of FTT can rebound through market activity, FTX may choose to sell gradually to minimize market impact.

### **Conclusion**

The disposal of FTT is a complex issue involving legal considerations, creditor interests, market reactions, and FTX's future plans. A direct delisting or sale may have negative impacts; therefore, FTX and the bankruptcy management team may be seeking a more cautious approach to handle this asset. Meanwhile, investors should take caution with any market activities related to FTT, as its value remains highly uncertain and speculative.

$FTT