North Korean Hackers Swipe $600 Million in Crypto Funds

According to TRM Labs, North Korean hackers potentially stole up to $700 million in cryptocurrency in 2023, with $600 million confirmed by their research done on Jan.5.

TRM Labs, a blockchain intelligence firm, revealed in its report that groups associated with the Democratic People’s Republic of Korea (DPRK) were responsible for approximately 33% of all cryptocurrency stolen through hacks in 2023.

In its recent report, blockchain intelligence firm TRM Labs disclosed that North Korean hackers may have illicitly acquired up to $700 million in cryptocurrency during 2023, with their research confirming $600 million of the stolen funds.

https://twitter.com/trmlabs/status/1743278633987273213?ref_src=twsrc%5Etfw” target=”_blank” rel=”noopener

Hackers Devastated Crypto Industry

The report indicated that DPRK hackers have seized around $3 billion worth of crypto since 2017, suggesting an escalation in the country’s attacks involving digital assets over the past year. The firm highlighted that the methods employed by the DPRK for money laundering were continually evolving to evade international law enforcement pressure. 

Research suggested that the hackers typically compromised users’ private keys or seed phrases, transferred funds to DPRK-controlled wallets, and exchanged the assets for Tether (USDT) at $1.00 or Tron (TRX) at $0.1040.

In response to these activities, United States Treasury Department officials imposed sanctions on individuals and hacking groups linked to North Korea, including Lazarus.

Despite the sanctions against cryptocurrency mixers Tornado Cash and Sinbad, TRM Labs reported that the DPRK was actively exploring alternative laundering tools.

CertiK reported on January 3 that there were approximately 751 breaches in 2023, resulting in the loss of over $1.8 billion in crypto, with DPRK hackers allegedly responsible for one-third of these incidents. The Ethereum network recorded the highest losses at $686 million over 224 incidents.

U.S. officials frequently cite digital assets as reasons for imposing sanctions on certain entities, such as the terrorist group Hamas following its October 7 attack on Israel. Lawmakers have also targeted cryptocurrency mixers, asserting that the technology is primarily used for illicit purposes.