Backpack founder denies OTC claims after TGE FUD, addresses FDV bets, sybil points, and tokenomics considerations.
Backpack Change’s token technology occasion stirred critical controversy.
The $BP token launched on Solana with a complete provide of 1 billion tokens. Shortly after launch, suspicious betting exercise on Polymarket raised questions on insider buying and selling.
Founder Armani Ferrante stepped in immediately to handle the rising wave of FUD circulating throughout the crypto neighborhood.
Armani Ferrante Denies OTC Self-Buying and selling Allegations
Probably the most critical declare circulating after the TGE was that Backpack was promoting its personal tokens over-the-counter to money out.
Ferrante dismissed this outright. He confirmed that consumers had approached him requesting OTC entry. He mentioned he was merely serving to join consumers to extra tokens.
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Solana-Based mostly Backpack Change Unveils BP Token for Customers and NFT Holders
The confusion apparently stemmed from Ferrante discussing OTC offers in Discord. Given the dangerous historical past of different crypto tasks utilizing OTC to exit, the neighborhood jumped to conclusions.
Backpack additionally denied any insider involvement within the Polymarket betting exercise. The trade said these merchants had no affiliation with the crew, workers, or advisors.
Mad Lads VIP Standing and Sybil Detection Draw Neighborhood Pushback
Ferrante additionally addressed backlash round Mad Lads NFT holders.
Pre-TGE holders retain their Backpack VIP standing. New holders don’t qualify. This determination divided the neighborhood sharply.
The founder defined this was in keeping with how Mad Lads has at all times operated. The challenge has prioritized long-term holders from the beginning.
Every stage of Mad Lads was constructed to push customers towards deeper engagement with the Backpack product.
Ferrante acknowledged that new holders got here in with completely different expectations. That pressure, he mentioned, was pure and never one thing the crew deliberate to reverse.
On the sybil detection problem, Ferrante admitted the method was too inflexible. The crew drew a tough line. However the neighborhood felt the strategy lacked nuance.
He promised the crew would overview the flagged circumstances. The aim had at all times been to guard common customers from subtle actors splitting accounts to farm factors unfairly.
On FUD.
FUD is a chance to both deal with misunderstandings or to establish errors and easily repair them. With each TGE, feelings run scorching, as folks deal with a single quantity, the token value, figuring out one’s emotions. It’s human nature, and since Backpack has such a…
— Armani Ferrante (@armaniferrante) March 27, 2026
Backpack Defends Token FDV and Lengthy-Time period Tokenomics Technique
The low totally diluted valuation after launch stunned many observers.
Backpack reportedly generates round $20 million in month-to-month income. That made the small 1% airdrop allocation and the modest FDV a speaking level.
Some merchants noticed it as undervaluation. Others questioned the crew’s intentions.
Ferrante pushed again on the short-term value focus.
He argued that 24-hour and even one-week FDV figures aren’t significant metrics. His reasoning centered on the crew’s incentive construction.
The crew and founders acquired no token allocation at launch. If $BP fails, they get nothing. If it succeeds, they profit alongside the neighborhood.
He described this as deliberately excessive tokenomics. The construction ties the corporate’s survival to the token’s long-term efficiency.
Ferrante added that Backpack is constructing towards turning into a compliant, crypto-native monetary establishment. That path limits which areas the trade can at present serve, however he mentioned regional customers will obtain their allocations as soon as these markets open.
Ferrante closed by saying post-TGE discussions about value could be his final. Going ahead, he mentioned, the main focus returns to constructing.