Bitzlato Founder Arrested , in $700M Laundering Scheme.<br />Bitzlato Founder Arrested , in $700M Laundering Scheme.<br />'The Hill' reports that U.S. and French authorities have seized the Bitzlato website.<br />The FBI arrested its founder, <br />Anatoly Legkodymov, on Jan. 17 in Miami.<br />The FBI arrested its founder, <br />Anatoly Legkodymov, on Jan. 17 in Miami.<br />Today, the Department of Justice has dealt a significant blow to the crypto crime ecosystem, General Lisa Monaco, Deputy Attorney General, via statement .<br />U.S. officials allege that the crypto exchange processed <br />over $700 million in illegal funds by not having a proper anti-money laundering program in place.<br />The Justice Department and Treasury Department officials also allege that Bitzlato was aware of some of this criminal activity.<br />Bitzlato was particularly active in <br />facilitating illicit activity, but it is <br />ultimately part of a larger, larger ecosystem <br />of cyber criminals that are allowed to <br />operate with impunity within Russia, Wally Adeyemo, Deputy Treasury Secretary, via statement.<br />'The Hill' reports that a large part of the criminal complaint centers on Bitzlato's relationship with a Russian-based darknet market known as Hyrda Marketplace.<br />According to the complaint, a <br />"substantial portion" of the crypto billions Hydra received came from Bitzlato wallets.<br />'The Hill' reports that Legkodymov resides in China. It's not clear why he was in Miami
