First reaction, what the * is Bitzlato?
Can't find any volume stats on them, neither Coingecko or CMC are of any help here.
Agreed. There is nothing concerning about the takedown of this exchange. However, as I mentioned in another thread, what should be concerning is much of the transactions of Bitzlato has been with the darknet marketplace Hydra, there are also transactions with a Russian ponzi scheme and with Binance which might imply that the exchange is being used as a part of a moneylaundering scheme. News of a crackdown on Binance would certainly cause another big dump.
Approximately two-thirds of Bitzlatos top receiving and sending counterparties are associated with darknet markets or scams. For example, Bitzlatos top three receiving counterparties, by total amount of BTC received between May 2018 and September 2022 were: (1) Binance, a VASP; (2) the Russia-connected darknet market Hydra; and (3) the alleged Russia-based Ponzi scheme TheFiniko.Source https://www.fincen.gov/sites/default/files/shared/Order_Bitzlato_FINAL%20508.pdf