The answer is true, Sponges can regenerate the entire organism from just a conglomeration of their cells. They can be cut up or mashed, and as long as they have two special cells called collencytes, which produce the gelatinous matrix in the sponge, and archeocytes, which produce all the other cells in the spongeâ??s body, the sponge will reform into the sponge it once was. Although, it will look different. Hope it helps!