- North Korean cybercrime organizations have continued to terrorize the crypto industry in South Korea, stealing millions worth of virtual assets.
- The United States and other countries have been affected by the activities of the Lazarus group and other hacking groups to the tune of $1 billion in 2022 alone.
The National Intelligence Service (NIS) in South Korea, in a press briefing today, stated that North Korean hackers have remained a significant threat to cryptocurrency operations, with at least 180 million worth of virtual assets stolen this year alone.
“North Korea is resorting to illegal means such as the kidnapping of ships and stealing cyber money to overcome economic difficulties,” the NIS said, adding that cybercriminals in the country have illegally accumulated more than $1.5 billion of virtual assets since 2015.
North Korean Hackers Beyond South Korea
However, the activities of North Korean cyber hackers have gone further than the shores of South Korea into the United States and the United Kingdom, among other countries. According to a confidential report obtained by Reuters, the United Nations said earlier this year that North Korea stole more cryptocurrency assets in 2022 than in any other year, with networks of foreign aircraft and defense companies also targeted.
“(North Korea) used increasingly sophisticated cyber techniques both to gain access to digital networks involved in cyber finance and to steal information of potential value, including to its weapons programmes,” independent sanctions monitors reported to a U.N. Security Council committee.
Echoing the same reasons given by South Korea’s National Intelligence Service, the sanction monitors accused North Korea of using the stolen funds to fund its nuclear and missile programs. According to the sanctions monitors, South Korea believed that North Korean-linked hackers stole $630 million in virtual assets in 2022, while a cybersecurity firm calculated that North Korean cybercrime generated cyber currencies worth more than $1 billion in the same year.
Notorious groups like Lazarus and Labyrinth Chollima have been linked to cyber attacks. However, reports show that North Korea has either denied allegations of hacking and other cyberattacks or failed to respond to sanctions.
Lazarus Group
One of the most notorious North Korean hacking organizations, Lazarus Group, has been linked to several crypto-related hacks. The US government connected the group to the exploit on Infinity’s Ronin sidechain network, as they allegedly made away with 173,600 ETH and $25 million of the network’s stablecoin USD.
In June, cryptocurrency analytics firm Elliptic reported that the hackers hit more than 5,500 digital wallets in a heist that left the firm with losses of up to $100 million.
Last month, CoinsPaid released a statement stating that it believed Lazarus Group orchestrated the $37 million hack, as funds were stolen from the crypto company’s hot wallets. The event is said to be connected with the Alphapo hot wallet hack in July, as both organizations were affiliated.
South Koreans Identities Leaked
The NIS, in their briefing, added that North Korean cyber criminals did not only raid the crypto industry but compromised the credit card information of South Koreans, although it said that security measures were quickly taken and personal damages prevented.
