This Monday, the research head that the exchange had previously employed announced his resignation, citing the company's lack of empathy and excessive opaqueness as reasons for his decision.
As of this month, the Hong Kong cryptocurrency exchange AAX has become the latest victim of the fall of FTX. This has left clients and investors in a state of uncertainty, as the event confirmed the city's exposure to a sector in which it has recently considered the possibility of better regulation.

Atomic Asset Exchange, often known as AAX, has ceased operations after removing all of its social media profiles and placing a hold on withdrawals. In addition, there is no way to contact the team. Distressed investors have formed multiple groups on the messaging platform Telegram, with over one thousand users demanding information about the location of the AAX team.

The former executive, who was in attendance at FinTech Week Hong Kong earlier this month, announced his resignation via tweet on Monday. He stated that the company ignored all initiatives to fight for market participants, which added to the growing list of problems.

Ben Caselin, a former executive at AAX, has indicated that the exchange handled things in a manner that was both opaque and devoid of humanity. He went on to say that the company may still take things without having any malicious intent, despite the fact that the harm was done and trust was shattered.

Additionally, this week witnessed the deletion of AAX's Facebook page as well as its YouTube channel. AAX once served as a sponsor for material published by South China Morning Post. Despite the fact that it is currently unknown how much money was lost on the AAX exchange, the platform's closure serves as a cautionary tale for Hong Kong's ambitions to become a center for cryptocurrency.

One year following the start of the firm in 2018, AAX established its cryptocurrency exchange. Following the disclosure of a legal framework to oversee cryptocurrency trading platforms by Hong Kong's Securities and Futures Commission (SFC), this came to pass. Although some of the market will continue to operate without oversight for some time, the platform's chief executive officer, Thor Chain, stated in 2019 that they welcomed industry regulation.

While news of FTX's impending bankruptcy spread throughout the cryptocurrency space, AAX announced (on November 15) that it had temporarily halted withdrawals due to intense pressure on its capital position. In the meantime, it assured investors that their funds hadn't been compromised, and it planned to raise additional capital.

The turmoil caused by the FTX crisis is still shaking the cryptocurrency world. BlockFi has recently submitted a petition for bankruptcy, citing its exposure to FTX. In addition, Hbit, a subsidiary of Huobi Global, stated that it was unable to withdraw cryptocurrencies to the value of $18.1 million that were deposited in FTX.

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