ZachXBT Targets Tokenlon Over Alleged Illicit Crypto Flows

Investigator ZachXBT has raised concerns over the activities of Tokenlon, a decentralized exchange with around 17,000 followers on X.

The platform's decentralization claims have been questioned by a 2022 report by Cryptoforensic Investigators, which found that Tokenlon behaves differently in practice. The report compared Tokenlon to centralized OTC services rather than true decentralized exchanges.

A working paper titled 'How Do Crypto Flows Finance Slavery?' also found that around 57-60% of all Tokenlon swaps during 2022-23 involved addresses linked to scam networks.