UN Reports North Korea Crypto Thefts Doubled in 2022

Hackers from North Korea have stolen nearly $1 billion in crypto assets, according to a U.N. report. The figure is more than twice as much as the sum of stolen funds in 2021.

Reports are emerging that North Korea has stolen nearly $1 billion in cryptocurrencies, with the information coming from an annual report by the United States Security Council. The report states that the estimated value of the theft is somewhere between $630 million to over $1 billion. This is twice as much as what was stolen in 2021.

Crypto Hacks on the Rise

Industry reports frequently mention that North Korea uses sophisticated techniques to carry out crypto crimes. Regarding this trend, the report states,

“(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…The techniques used by cyberthreat actors have become more sophisticated, thus making tracking stolen funds more difficult.”

The report urges member countries to adopt guidelines to prevent money laundering from taking place. Interestingly, the panel stated that there is an investigation relating to apparent exports of military communications equipment to Russia. North Korea firmly denies that it has done any wrong, but the sanctions continue to pile up.

North Korea Using DeFi to Launder Money

The United States Treasury has also spoken of illicit financial activity in the DeFi space. In a press release issued on April 6, the department noted that North Korea was using DeFi to launder money.

It does note the “potential benefits associated with DeFi services” but points out that it requires addressing risks relating to money laundering. It asks the private sector to use its assessment to take necessary actions against any illicit financial activity.

Hackers Targeted Crypto Firms Recently

North Korean hackers have targeted crypto firms recently. A hack of VoIP application 3CX led to the hackers breaking into several crypto companies. The software is used by about 600,000 companies.

Ultimately, hackers use the supply chain hack to plant more serious programs into systems. Therefore, both crypto companies and governments have valid concerns since it is clear that the country will continue its cyber operations.