Summary
- The U.S. Department of Justice (DOJ) has announced the closure of the Bitzlato cryptocurrency exchange, and the arrest of its owner, Anatoly Legkodymov.
- Officials allege that Bitzlato was a part of a large illicit cryptocurrency network designed to circumvent sanctions, launder money and conceal crimes.
- The DOJ alleges that Bitzlato facilitated more than $700 million in transactions involving illicit funds from 2018-2022.
Background
The U.S. Department of Justice (DOJ) has announced the closure of the Hong Kong-based Bitzlato cryptocurrency exchange, along with the FBI’s arrest of its owner, Anatoly Legkodymov. In a live stream hosted on January 18th, representatives from law enforcement revealed that the exchange was allegedly a part of a large illicit cryptocurrency network designed to circumvent sanctions, launder money and conceal crimes.