North Korean Hackers Accused of Stealing Over $650 Million in Cryptocurrency Last Year

North Korean Hackers Accused of Stealing Over $650 Million in Cryptocurrency Last Year

North Korea’s cyber criminals allegedly plundered $659 million through cryptocurrency heists, leaving global financial systems vulnerable.

At a Glance

  • North Korean hackers allegedly stole at least $659 million in cryptocurrency in 2024.
  • The largest theft involved DMM Bitcoin, a Japanese exchange, losing $308 million.
  • Hackers used social engineering and identity theft to infiltrate cryptocurrency companies.
  • The US, South Korea, and Japan issued a joint warning about North Korean cyber threats.

North Korea’s Cyber Heist Spree

North Korean hackers reportedly stole over $659 million in cryptocurrency during 2024. This alarming figure comes from a joint statement issued by the United States, South Korea, and Japan, highlighting the growing threat posed by North Korea’s cyber capabilities to the global financial system. The statement emphasizes the need for increased vigilance and cooperation to combat these sophisticated attacks.

The largest single theft in this cyber crime spree targeted DMM Bitcoin, a Japanese cryptocurrency exchange, resulting in a staggering loss of $308 million in May 2024. This breach underscores the vulnerability of even well-established exchanges to determined state-sponsored hackers. Another significant attack hit WazirX, India’s largest cryptocurrency exchange, in July 2024, resulting in a theft of $235 million.

Sophisticated Tactics and Social Engineering

North Korean hackers have allegedly employed increasingly sophisticated tactics to infiltrate cryptocurrency companies. These include social engineering techniques and identity theft, often posing as legitimate job seekers or business partners. The infamous Lazarus Group, a North Korean hacker collective, has been linked to many of these attacks, using malware such as TraderTraitor and AppleJeus to execute their breaches.

One particularly concerning tactic involves North Korean IT workers, dubbed “IT warriors,” who allegedly impersonate U.S.-based professionals to gain employment and access to networks. This infiltration method has prompted the U.S. State Department to offer rewards of up to $5 million for information on North Korean front companies involved in illegal IT work.

The Broader Impact and International Response

The scale of North Korea’s cyber theft is staggering. Chainalysis, a blockchain analysis firm, reported that North Korean hackers stole a total of $1.34 billion in cryptocurrency in 2024, marking a 102.88% increase from the previous year. This surge in cyber crime has raised serious concerns about the stability of the international financial system and the funding of North Korea’s nuclear weapons program.

In response to this growing threat, the United States, South Korea, and Japan have urged blockchain companies and freelance work industries to enhance their vetting processes. The goal is to prevent the inadvertent hiring of North Korean IT workers who may pose security risks. The international community is calling for increased collaboration and vigilance to combat these sophisticated cyber attacks and protect the integrity of the global financial system.

Sources

  1. North Korea Stole at Least $659 Million in Cryptocurrency Last Year
  2. US govt says North Korea stole over $659 million in crypto last year
  3. North Korea stole over $659M in crypto heists during 2024, deployed fake job seekers
  4. North Korea linked to crypto heists of over $650 million in 2024 alone