Backpack successfully navigated the October 11 market flash crash and has implemented a compensation plan for affected users. Following a thorough review of cases, Backpack confirms no socialized losses or clawbacks occurred during the event. The company’s stable operations, risk engine performance, and focus on user safety continue to be highlighted. A compensation plan has been put in place: accounts with less than 5x leverage on spot-futures arbitrage receive a full subsidy (100%), while those above 5x leverage receive partial subsidies. Additionally, users with BTC lending positions affected by Auto-Deleveraging are entitled to a full subsidy. All liquidation fees will be partially refunded at 50%. This case resolution demonstrates Backpack’s commitment to user protection and transparency. Backed by its robust risk management system, the company remains confident in its ability to operate effectively even during volatile market conditions.