FUD (FTX Users' Debt) is a bond token created for the most creditworthy claimants from the FTX event by DebtDAO. It is positioned as the highest-quality FTX debt asset, with Huobi offering it exclusively. DebtDAO has confirmed via a contract that the underlying debt totals in the tens of millions of dollars. During the early bird issuance window, FTX purchases the debt at a discount. With 1 FUD = $1, the initial issuance and liquidity are set at 20 million. The fair value follows 0 < 1FUD ≤ 5USDT, though it may be higher depending on market volatility.

Once FTX restores the database or officially verifies the creditor’s real outstanding debt, DebtDAO will launch a secondary public sale reflecting the confirmed debt amount and will also distribute airdrops to all FUD holders. After that, the fair price will be 0 < 1 FUD ≤ 1 USDT. For example, if the confirmed debt is $60 million based on the FTX database or published debt records, DebtDAO would issue an additional 40 million FUD on top of the initial 20 million. Under DebtDAO’s rules, anyone holding 1 FUD before the secondary public offering will receive an extra 2 FUDs through the airdrop. After the airdrop, DebtDAO will perform a 1:1 debt buyback for users who hold FUD.