North Korean Hackers Stole Over $1.3B Worth Of Crypto In 2024

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As a researcher who has spent years delving into the murky world of cybercrime, I find myself constantly amazed by the audacity and sophistication of North Korean hackers. In 2024, they not only shattered their own record for crypto theft but also claimed a staggering 61% share of the global crypto theft pie. It’s like they’re playing a high-stakes game of Monopoly, except instead of properties, they’re snatching digital gold and instead of rolling dice, they’re using their advanced hacking skills.

2024 saw North Korean government-backed hackers making off with approximately $1.34 billion in cryptocurrency, more than twice the $660 million they had previously stolen across 20 separate instances in 2023.

This means that approximately 61% of the world’s cryptocurrency theft can be attributed to North Korea, resulting in a staggering loss of around $2.2 billion.

North Korean Hackers Shatter Record

2024 saw a remarkable achievement by North Korean cybercriminals as they broke a noteworthy record by pilfering approximately $1.34 billion in cryptocurrency. This staggering figure accounts for more than 60% of the total $2.2 billion worth of crypto stolen during that year. Known for their expertise in malware, social engineering, and digital asset theft, these North Korean hackers have been using these skills to fund state ventures such as nuclear and missile programs. By doing so, they help the reclusive nation circumvent international sanctions.

As per a Chainalysis report, attacks by North Korean cybercriminals persistently escalate in terms of sophistication, even as the overall number of incidents decreases annually. According to industry insiders, these hackers are refining their skills in creating and launching large-scale cyberattacks, with instances of attacks valued between $50-$100 million and above $100 million becoming more common. Notably, North Korean hackers have been able to penetrate crypto and Web3 firms, undermining the security of their systems.

Modus Operandi 

Cybercriminals employ fake personas, external recruitment agents, and take advantage of remote work setups to infiltrate secure systems. Once they penetrate these networks, they pilfer confidential data and sometimes even raid company accounts. Notably, North Korean hackers are aiming to disrupt the fundamental structure of the cryptocurrency market. In a bold move that made headlines, these hackers swiped 4502 Bitcoins from the Japanese crypto exchange, DMM Bitcoin.

The stolen assets are funneled through cross-chain bridges and cryptocurrency mixers, making them almost impossible to trace. 

How 2024 Played Out 

In the initial part of 2024, North Korea’s cyber army was very active. But following a notable meeting between Kim Jong Un and Russian President Vladimir Putin in Pyongyang, their activities saw a significant reduction. As per Chainalysis, there was a marked decrease in their operations, with the amount they managed to steal dropping by more than half during the second half of 2024.

Nevertheless, it’s important to note that analysts haven’t found a clear cause-and-effect relationship between the summit and the reduction in hacking activities attributed to North Korean groups.

A Constant Threat 

Although hacker threats have decreased significantly from the levels seen in 2021 and 2022, the current year has shown a surprising 23% increase compared to the previous year (2023), indicating that the risk of cyber attacks remains persistent. Eric Jardine, leader of cybercrimes research at Chainalysis, commented on this matter.

2021 started off with a trend of high instances of fund theft, placing us among the most unfortunate years in history. The recent surge in these incidents underscores significant vulnerabilities in our security systems, emphasizing the importance of implementing flexible countermeasures.

He added that private key compromises remain a concern despite a drop in activity following Kim and Putin’s meeting. According to Jardine, these concerns will only increase as larger financial institutions enter the crypto space. 

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2024-12-21 21:09