Anatoly Legkodymov, co-founder of Bitzlato, has been sentenced to 18 months in prison by the New York District Court. This follows his admission of managing a platform that processed over $700 million in illegal funds.
Legkodymov served his sentence at the Metropolitan Detention Center (MDC) in Brooklyn, where harsh conditions influenced Judge Eric Vitaliano’s sentencing decision. Bitzlato was a major counterparty to the darknet platform Hydra, making this case significant in the cryptocurrency world.
Legkodymov agreed to shut down Bitzlato and forfeit $23 million in crypto assets. The closure of Bitzlato in December 2023 disrupted the crypto market. This case, akin to the prosecution of Alexander Vinnik of BTC-e, marks a pivotal moment in the crackdown on illegal crypto activities.
The sentencing underscores the judiciary’s firm stance against crypto-related crimes, aiming to deter future illegal activities in the evolving cryptocurrency market.
