Upbit Hack Tied to North Korean Lazarus Group

On November 28, CryptoQuant CEO Ki Young Ju suggested North Korea’s hacker group Lazarus was behind a $30 million cryptocurrency theft from Upbit, South Korea’s largest exchange.

The attack highlights potential vulnerabilities in crypto exchanges, prompting security reassessments while affecting market dynamics with disrupted transactions and asset movements. Upbit pledges full compensation to affected users.

Upbit Hack Details and Lazarus Group Involvement

On November 27-28, 2025, Upbit, a leading South Korean crypto exchange, encountered a hack resulting in a loss of approximately $30.6 million USD from its hot wallet. Affected tokens like Solana and Layer have been partially frozen on-chain. Upbit identified a security vulnerability enabling the inference of a private key. The Lazarus Group, a well-known North Korean hacker collective, is suspected to be responsible due to the methodology resembling past attacks. Ki Young Ju, CEO of CryptoQuant, commented that North Korean hackers were likely involved, aligning with government suspicions.

In response, Upbit has suspended all deposits and withdrawals to secure remaining assets and is utilizing its own funds to compensate users fully. An investigation by South Korean authorities is underway to determine whether an administrative account was compromised.

“The crypto exchange will fully compensate the entire amount with its own assets so that members’ assets don’t get affected due to the exploit,” — Oh Kyung-seok, CEO, Upbit

The crypto community welcomes Upbit’s compensation assurance. Officials in South Korea are enhancing collaboration with exchanges to prevent future incidents. Specific changes to regulatory policies are yet to be announced, but increased scrutiny is anticipated.

Insights on Security Trends and Market Response

Did you know? The Lazarus Group has previously targeted and successfully hacked multiple exchanges since 2019, including a similar attack on Upbit that netted $43 million, showcasing their repeated focus on major cryptocurrency exchanges globally.

Ethereum (ETH) is valued at $3,044.07 with a market cap standing at $367.41 billion, according to CoinMarketCap. It holds an 11.86% market dominance, recording a 0.59% price increase over 24 hours, yet a decline of 30.04% over 90 days. The 24-hour trading volume is $20.17 billion, reflecting a 7.65% change.

Expert insights from Coincu Research suggest that heightened security measures and regulatory requirements could significantly impact the cryptocurrency exchange landscape. They highlight the need for exchanges to adopt advanced security frameworks to mitigate risks and safeguard digital assets effectively.