Troubled Hong Kong crypto exchange AAX is now more likely to be unwound than resuming normal operations, its former head of communications Ben Caselin told CoinDesk TV Wednesday in his first interview since resigning earlier this week.

Switzerland-headquartered Seba Bank expanded into Hong Kong with a new office as the Chinese region attempts to reclaim its status as a crypto hub.

Swiss crypto bank SEBA Bank announced on Wednesday the opening of its Hong Kong office to serve global institutional clients as part of its Asia-Pacific expansion.

The fall of crypto giants this year reignited questions about the stability of cryptocurrencies and their impact on fiat ecosystems. Hong Kong Monetary Authority (HKMA) assessed the situation and found that the instabilities of crypto assets, including asset-backed stablecoins, can potentially spill over to the traditional financial system.

Hong Kong remains bullish on virtual assets in the financial sector after the FTX debacle, while maintaining the view that regulation of businesses is a prerequisite for market development, said Hong Kong’s Financial Secretary Paul Chan in a blog post published on Sunday.

Hong Kong will issue what is the world’s first tokenized government green bonds by the end of the year. Reports also state that the region will legalize retail crypto trading.