North Korea Allegedly Laundered $147.5 Million in Stolen Crypto: UN

According to confidential findings by United Nations sanctions monitors and reported by Reuters, North Korea funneled $147.5 million through the Tornado Cash virtual currency platform in March this year, allegedly after stealing it from a cryptocurrency exchange in 2023.

SEC Decision On Bitcoin ETF Approval Expected Soon — LONDON, ENGLAND - JANUARY 09: In this photo illustration, a visual representation of the digital Cryptocurrency Bitcoin is seen on January 09, 2024, in London, England. Bitcoin investors are expecting the U.S. Securities And Exchange Commission (SEC) to issue a decision soon on whether to grant Bitcoin "exchange-traded fund" (ETF) approval, which would allow people to invest in Bitcoin without having to buy it on a crypto exchange like Coinbase or Binance. The price of Bitcoin has risen in anticipation of such approval. (Photo: Dan Kitwood/Getty Images)

97 Suspected Cyberattacks by North Korea on Crypto Firms

These monitors disclosed to a U.N. Security Council sanctions committee in a recent document that they have been probing 97 suspected cyberattacks by North Korea on cryptocurrency firms between 2017 and 2024, amounting to approximately $3.6 billion.

Among their investigations was an incident late last year where $147.5 million was taken from the HTX cryptocurrency exchange and then laundered in March, based on information from crypto analytics firm PeckShield and blockchain research firm Elliptic.

This year alone, the monitors stated they looked into around 11 cryptocurrency thefts worth $54.7 million. They noted that many of these may have been operated by North Korean IT workers inadvertently employed by small crypto firms.

According to reports from U.N. member states and private companies, the monitors underscored that North Korean IT workers operating abroad generate significant income for the country.

North Korea has been under U.N. sanctions since 2006, with these measures progressively intensified over the years to curtail funding for its controversial ballistic missile and nuclear programs.

However, it must be noted that North Korea's U.N. mission in New York has not provided an official comment on these allegations.

Additionally, Reuters notes that Tornado Cash was sanctioned by the U.S. in 2022 over allegations of aiding North Korea. In 2023, two of its co-founders were charged with facilitating over $1 billion in money laundering, including for a cybercrime group with a purported connection to North Korea.

Surge in Cyberattacks by North Korean Hackers

In a related development, blockchain analytics firm Chainalysis recently reported an unexpected surge in cyberattacks orchestrated by North Korea-linked hackers against cryptocurrency platforms in 2023.

Last year, hackers were reported to have infiltrated 20 cryptocurrency platforms, marking the highest number within this timeframe based on data from 2016 to 2023. Although the number decreased from the record $1.7 billion stolen in 2022, North Korea-linked hackers still managed to steal slightly more than $1 billion in cryptocurrency assets in 2023.

Chainalysis said there has been a notable rise in North Korea-linked hacks over recent years, with cyber-espionage groups like Kimsuky and Lazarus Group employing various malicious tactics to steal substantial amounts of crypto assets.