Reported by: Kevin Johnson

The founder of the Hong Kong-based cryptocurrency exchange Bitzlato was arrested early Wednesday in Miami in connection with a vast money laundering operation, accused of transmitting more than $700 million in illicit funds in the past four years.

Deputy Attorney General Lisa Monacosaid Anatoly Legkodymov, 40, a Russian national, oversaw a major “high-tech financial hub that catered to known crooks,” including cybercriminals and drug dealers seeking to process dirty money. 

“Today the Department of Justice dealt a significant blow to the cryptocrime ecosystem,” Monaco said. “Bitzlato facilitated the transmission of hundreds of millions of dollars in illicit funds, fueling darknet marketplaces and laundering the proceeds of ransomware attacks,” Monaco said.

Federal officials declined to say why Legkodymov, who has been living in Shenzhen, China, was in Florida and how he was taken into custody, except to indicate he was running the business from Miami last year and early this year.

Read full report: https://www.usatoday.com/story/news/politics/2023/01/18/crypto-exchange-bitzlato-founder-arrested/11075095002/