North Korean hackers stole $1.6b crypto this year

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As a seasoned analyst with years of experience tracking cybercrime activities, I find it alarming to witness North Korea’s escalation in cyber operations, particularly in the realm of cryptocurrency theft. The sheer scale and frequency of these attacks are not only concerning but also indicative of a regime that is relentless in its pursuit of funding for its weapons development and ballistic missile programs.

2024 saw North Korea’s cyber activities reach unprecedented levels as hackers associated with the regime allegedly made off with approximately $1.6 billion in digital currency, according to a report by Chainalysis.

2023 saw approximately $660.5 million being stolen, but the figure has significantly risen since then, highlighting the significant part cybercrime contributes to financing North Korea’s administrative activities.

In the year 2024, a staggering sum of approximately 2.2 billion dollars was illegally taken from cryptocurrency platforms, as revealed by Chainalysis. Interestingly, about 61% of this amount is believed to have originated from North Korea.

2021 saw a record-breaking theft by North Korean hacking groups in the cryptocurrency world, with an estimated haul of approximately $1.34 billion – accounting for around 61% of all crypto platform heists this year.

— Chainalysis (@chainalysis) December 19, 2024

This year, the nation’s cybercrime network launched 47 distinct attacks, more than twice the number of attacks they were linked to last year. These attacks primarily focused on cryptocurrency platforms and decentralized finance systems with the aim of transferring funds. Experts suggest that these illicit activities are funding North Korea’s nuclear weapons development and ballistic missile projects.

North Korean tactics are evolving 

It appears that hackers from North Korea have grown in complexity, employing intricate malware and social manipulation strategies. Additionally, they’ve broadened their activities to penetrating virtual currency businesses, posing as remote employees in the process.

In a significant instance, the U.S. Department of Justice brought charges against 14 individuals from North Korea, who fraudulently assumed identities to obtain remote IT positions. These individuals allegedly amassed more than $88 million by carrying out data heists and extortion schemes.

In 2024, it was observed that the size and occurrence of such cyber attacks from North Korean entities significantly escalated compared to past years. These groups executed more substantial hacking operations that surpassed $100 million in value, showing an alarming expansion of their abilities for grand-scale thefts.

Smaller-scale hacks have also risen, with attacks under $50 million occurring more frequently.

As a concerned crypto investor, I’ve always been wary about the unusual activities in the digital world, especially when it comes to North Korea. For years, I’ve noticed whispers within the global community about their suspected use of cybercrime to circumvent sanctions. It’s chilling to think that a potential third of the funding for their missile program might be traced back to illicit online activities. This is more than just a financial concern; it’s about global peace and stability, and I hope the authorities can take effective measures to address this issue.

A shift in activity after Russian ties

In the first six months of 2024, it was found that the majority of North Korea’s cryptocurrency theft occurred. After June, hacking activity decreased noticeably, aligning with strengthened relations between North Korea and Russia. Some analysts speculate that the regime might have adjusted its cyber tactics after a meeting between Kim Jong Un and Vladimir Putin, an event indicating increased collaboration between the two nations.

Perhaps, the report suggests, besides shifting their military assets towards the conflict in Ukraine, North Korea (DPRK), which has significantly boosted its collaboration with Russia recently, could also have adjusted its cybercrime activities.

The slowdown didn’t significantly reduce the total effect that occurred throughout the year.

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2024-12-19 18:56