Blockchain intelligence firm TRM Labs reported that hacker groups linked to North Korea were responsible for about 33% of all cryptocurrencies stolen through hacks in 2023.
According to a January 5 report, TRM Labs said North Korean hackers are capable of stealing up to $700 million in money electronics by 2023, of which their research confirmed $600 million. North Korean hackers have stolen about $3 billion worth of cryptocurrency since 2017, suggesting an increase in attacks involving the country’s digital assets over the last year.
The blockchain company reports that North Korean Hackers’ money laundering methods are “continuously evolving to evade international law enforcement pressure.” Research shows that hackers almost always compromise users’ private keys or seed phrases, transfer funds to North Korean-controlled wallets, and then exchange assets for USDT or TRX.
“North Korea’s hacking capabilities require constant vigilance and innovation from businesses and governments. Despite notable advances in cybersecurity among exchanges and growing international cooperation in tracking and recovering stolen funds, 2024 will likely see further disruption from the world’s most powerful cyber thief.”
US Treasury officials have imposed sanctions on individuals and hacking groups they allege are linked to North Korea, including Lazarus. Following the Department’s sanctions on cryptocurrency mixers Tornado Cash and Sinbad, TRM Labs reported North Korea “continues to explore other money laundering tools.”
CertiK reported on January 3 that there were some 751 breaches in 2023, resulting in the loss of more than $1.8 billion in cryptocurrency – a third of which were allegedly carried out by North Korean hackers . The Ethereum network reportedly recorded the most losses at $686 million after 224 incidents.
U.S. officials have often cited digital assets as a reason for imposing sanctions on several entities, including the terrorist group Hamas following an attack on Israel on October 7. Machine Cryptocurrency mixing has also been a specific target of lawmakers, who argue that the technology is primarily used for illegal reasons.
