Sam Bankman Freed and his team continue to protect themselves. SBF’s X account posted a lengthy document on Thursday claiming that the exchange is not actually bankrupt. FTT isolated from the broader decline with a 2% gain.
The X account, currently managed by a friend of Sam Bankman Freed, caused a stir in the cryptocurrency market by posting a post claiming that the company was not bankrupt.
The 15-page document claims that FTX encountered a liquidity crisis that was “scheduled to be resolved by the end of the month” before the exchange’s external lawyers took over management. It declared:
FTX never went bankrupt, even though its lawyers tried to force it into bankruptcy.
(SBF says:)
This is where the money flowed. https://t.co/HVRwEw5Z1k https://t.co/5DrA13L5YE pic.twitter.com/O6q77DvmTn
— SBF (@SBF_FTX) October 31, 2025
According to the court’s conclusion, the disgraced founder and his team allegedly wrote a document highlighting that the exchange committed fraud and did not file for bankruptcy despite a plan to mishandle billions in customer funds.
They claim that FTX “suddenly ran out of cash and became illiquid.”
Meanwhile, the exchange’s native tokens, which have survived without solid utility since the FTX debacle, have turned bullish amid these developments.
FTT rose more than 2% on the daily chart to trade at $0.8473.
Trading volumes have increased by more than 25%, indicating optimism.
For context, the global cryptocurrency market capitalization has slumped over the past 24 hours, increasing by just 0.08% to $3.7 trillion.
FTX had sufficient funds at the time of collapse
According to the document, the cryptocurrency exchange and its sister company Alameda boasted assets worth $25 billion, along with an equity value of $16 billion, compared to $13 billion worth of debt, which was reduced in 2022.
So the net amount is about $28 billion. He further added:
During the crisis, the value of assets and (possibly) stocks took a temporary hit, but even at the peak of the crisis, companies remained solvent, even if you ignore stocks.
SBF and his team claim that their empire would be worth about $136 billion if the lawyers did not sell the assets they invested.
This includes a $7.6 billion stake in Robinhood brokers and a $14.3 billion investment in AI startup Anthropic.
Community reaction
However, crypto enthusiasts and online researchers are not buying SBF’s claims.
Some believe these are desperate attempts to secure a pardon following similar actions by Donald Trump against Binance founder CZ.
Others, on the other hand, questioned why FTX had halted withdrawals when creditors had sufficient funds.
DeFi enthusiast and X user Hanzo said, referring to Bybit’s $1 billion ETF fraud incident.
Many CEXs have been stress tested after massive failures and we are all here.
FTT price outlook
Amid these developments, FTX’s native token rose more than 2%.
A sharp increase in trading volume underscores the enthusiasm, and it is trading at $0.8473.
Nevertheless, FTT’s recovery is unlikely to last long.
Broad market weakness and negative community reaction to the team’s claims have weighed on the digital token.
