The cryptocurrency world is experiencing many unpredictable events. The bankruptcy of the FTX platform, one of the largest cryptocurrency exchanges, affected the market badly. Now, it is noteworthy that a Bitcoin and altcoin exchange has stopped withdrawals. Here are the details…
After FTX, this stock market suspends operations
2022 has certainly not been a good year for several cryptocurrency projects and cryptocurrency prices. In the cryptocurrency market, many platforms have crashed, including the Terra ecosystem. Due to falling prices and the decline of Terra, many firms went bankrupt, closed or ceased operations. Now, the recent meltdown of the FTX exchange has shaken the cryptocurrency industry.
Sam Bankman-Fried (SBF), CEO of FTX, and FTX were some of the biggest cryptocurrency players. The collapse of FTX also negatively affected the prices of cryptocurrencies. In one of the latest updates, the Hong Kong-based AAX cryptocurrency exchange announced that it is suspending all operations.
AAX talks about system upgrades
According to the details of the announcement, which came at a time when there was already pressure on the community due to the decline of FTX, the exchange has suspended all operations due to current system upgrades. The following statements are included in the statements at the entrance of the exchange’s website:
Current system upgrades require our third-party partner to fix and restore all users’ asset data.
The exchange states in its system upgrade notification that the integration is taking longer due to the current market situation. AAX also says that the issue will be fixed in 7-10 days. Ben Caselin, Vice President of AAX, made a statement to the community via Telegram about the ongoing issue. Caselin stated that the maintenance will take a long time and asked for the patience of the user. He noted that an official announcement will be made from AAX with proof of reserve documentation.
What had happened?
The collapse of FTX sent shock waves into the cryptocurrency market with most cryptocurrencies significantly corrected. The market correction was triggered after FTX exchange’s native token, FTT, slumped over 80 percent at one point and wiped nearly $2.5 billion from its market cap. The situation began to unravel after it was revealed that Bankman-Fried’s business empire consisted of two major entities – the FTX crypto exchange and its trading firm Alameda Research.
Alameda’s financial data mainly included the FTT token. This confirmed the link between the two organizations. On the other hand, cryptocoin.comAs we reported, regulators have launched an investigation into the FTX collapse.
