The Bitzlato crypto exchange was recently shut down by the US Department of Justice for allegedly engaging in illegal activities. The exchange was accused of facilitating the transfer of over $700 million in illegally obtained cryptocurrencies, as well as assisting in ransomware attacks.
However, in a recent development, Bitzlato has restored access for its customers to withdraw their Bitcoin from the platform. The exchange conveyed the message through Telegram, directing users to use the ‘bz_phoenix_bot’ to access 50% of their frozen funds on the platform.
While some users have confirmed withdrawing their holdings, others have opted to transfer to other exchanges like Bybit. However, some users have kept their funds on Bitzlato, hoping the platform will resume crypto trading by April this year.
All withdrawals from Bitzlato are in BTC, as the exchange converted all its altcoin holdings to Bitcoin when the DOJ shuttered the platform. Bitzlato also encouraged users to click the ‘Support Bitzlato’ button while processing their withdrawals, which will help the exchange team restore justice and reclaim the remaining half of all the assets.
Despite the recent shutdown and legal troubles, Bitzlato is working to restore access for its users and recover from the allegations made by the DOJ. It remains to be seen what the future holds for Bitzlato, but this recent development is a positive step forward for its customers.
