In my case were i recently trading on hotbit i would say its a legit exchange, i thought i need to pass kyc just to make a withdrawal but i was wrong, and my withdrawal went smooth, they immediately process it.
The only problem with this exchange site was regularly listing the scam coins. I remember this exchange site has been listing the fake coin that was not yet even traded on the binance as the first exchange site who has been creating a cooperation with such project. It's a flamingo token.
I have been using this exchange site to trade a very small amounts of money regularly and everything is always going very smooth.
Most of the low marketcap coins can only afford to get listed in a small exchange, maybe that's the reason why they got listed.
IMO, we should not blame hotbit on that matter as no project would say that we are a scam and we want to get listed, of course they will just prove that they are legitimate in the beginning and pay the exchange and then they will do their thing.