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Crypto exchange Bitzlato pleads guilty to $700 million money laundering charges

Anatoly Legkodymov, the major shareholder and co-founder of virtual currency exchange Bitzlato registered in Hong Kong, will plead guilty to charges of laundering $700 million. Legkodymov was arrested in Miami in January and charged with transferring illegal funds. Federal prosecutors said Legkodymov operated Bitzlato as an unlicensed currency exchange and exchanged $700 million in encrypted currency with Hydra Market, a market for drugs, stolen financial information, and money laundering services. The indictment stated that Bitzlato also received more than $15 million in ransomware proceeds, and Legkodymov and his team knew that the exchange was being used by criminals.

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