In what way does this help Florida?

Reliable backup for Bobrovsky and they have no first rounder in the next 2 drafts. They just sent Knight down to the AHL and it appears clear they dont fully trust him as an NHL starter. Plus that CGY 1st in a draft thats suposed to be very good could end up being a top 10 pick.

Putting aside the obvious poor valuation of Knight’s value as a goalie, it would be really cruel for Florida to give up on him so soon after his well-publicized mental health struggles.

Just claim him off waivers

Hes not on waivers

Is he waiver exempt?

From CapFriendly :

Knight’s waiver exemption is what makes this possible.

He’ll remain waiver exempt for 2 more seasons, or 21 more NHL games played.

Its so he can get reliable ice time instead of being on the bench most of the time so he cam get back into hockey with missing a few months last year. Not that they don't trust him

Cruel or not they’re trying to win. Having a goalie who isn’t directly helping in that regard is problematic to say the least. Might as well get a solid pick and backup and gain some cap flexibility in the meantime to improve the team.

Just look at Friedmans twitter

1. Montreal is almost certainly not getting the Flames 1st unless it's a later pick, they are much more likely to get Florida's 1st which is almost certainly a late pick. Trading him for their own pick would literally be betting against themselves.
2. Its called a conditioning stint. Knight has missed significant NHL time, he's waiver exempt, and there's a pretty decent chance Stolarz won't make it through waivers right now. This way Florida gets Knight more ice time without loosing their 3rd goalie.
3. Knight holds a lot of value a late 1st and expensive backup is a weak offer. He's their future in net. Carolina has sent Kotchetkov down 2 years in a row despite him making 2M and having a decent NHL record

Where's the value for Knight? I only saw the price to dump Allen

Spencer Knight > Jake Allen+Calgary's 2025 1st round pick.

Honestly until Knight comes back mentally healthy and playing up to his draft status, I wouldn't touch him at all. I need some reassurances before I pay premium assets for him.