Anatoly Legkodymov, the founder of crypto exchange Bitzlato pleaded guilty to charges related to operating a money transmitting business that facilitated the movement of illicit funds.

The charges highlighted Bitzlato’s role as a primary facilitator for dark market transactions. Furthermore, his lax controls over illicit money transactions.

Crypto Exchange Founder Oversees Millions In Illicit Funds

Legkodymov admitted to the operation of Bitzlato, which attracted criminals seeking a refuge for their activities.

Meanwhile, the crypto exchange, marketed as having minimal identification requirements, allegedly became a “safe haven for criminals” due to a lack of know-your-customer (KYC) procedures.

However, Bitzlato’s largest counterparty in cryptocurrency transactions was Hydra Market. This is a notorious online marketplace dealing in narcotics, stolen financial information, fraudulent identification documents, and money laundering services.

Users exchanged over $700 million worth of cryptocurrency with Bitzlato. This makes it a key player in the illicit darknet market until Hydra Market’s shutdown in April 2022.

Authorities Claim Legkodymov Turned a Blind Eye

However, deputy Attorney General Lisa O. Monaco emphasized the government’s commitment to disrupting cryptocrime. She cited the takedown of Bitzlato’s infrastructure and seizure of its cryptocurrency earlier this year as part of ongoing efforts.

Learn more: How To Identify a Scam Crypto Project

A

Go to Source to See Full Article
Author: Ciaran Lyons

Did you like this?
Tip BTC Newswire with Cryptocurrency

• Bitcoin
• Bitcoin Cash
• Ethereum
• Litecoin
• Monero
• ZCash

Donate Bitcoin to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some bitcoin:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Bitcoin Cash to BTC Newswire

Scan the QR code or copy the address below into your wallet to send bitcoin:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Ethereum to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some Ether:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Litecoin to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some Litecoin:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate Monero to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some Monero:

Donate via Installed Wallet Copy

[X] Click Here to Hide Donation Details

Donate ZCash to BTC Newswire

Scan the QR code or copy the address below into your wallet to send some ZCash:

Copy ZCash Address

[X] Click Here to Hide Donation Details