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U.S. Authorities Nab Crypto Exchange Founder Over Money Laundering

Published 2023-01-19, 03:30 a/m
© Reuters.  U.S. Authorities Nab Crypto Exchange Founder Over Money Laundering

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  • Bitzlato owner Anatoly Legkodymov was detained in Miami on accusations of money laundering.
  • The exchange was used to launder money from darknet transactions and ransomware operations.
  • US officials have lauded the action as a global “blow to the cryptocrime ecosystem.”

Bitzlato Ltd, a cryptocurrency exchange located in China, was named a “money laundering concern” by the US Treasury Department’s Financial Crimes Enforcement Network (FinCEN) on Wednesday in connection with illicit financing coming from Russia. The authorities have detained the exchange’s proprietor on money laundering charges, which they call a “blow to the cryptocrime ecosystem.”

At a press conference, the Department of Justice announced the arrest of 40-year-old Russian national Anatoly Legkodymov in Miami. Legkodymov had been residing in Shenzhen, China. The arrest was executed with the help of an overseas investigation team and local resources in the United States.

The U.S. Justice Department alleges that Bitzlato, a Hong Kong-based firm with a global reach, traded over $700 million in cryptocurrency with Hydra Market, the largest darknet marketplace in the world, until its closure in April 2022. In addition, the Justice Department added that Bitzla ...

The post U.S. Authorities Nab Crypto Exchange Founder Over Money Laundering appeared first on Coin Edition.

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