North Korea Hacks Bitcoin Worth 71.7 Billion Won Amid Kim Jong-un's Visit to Russia

Security Firm Analysis: North Korean Hacker Group Lazarus Behind
71.7 Billion KRW Hacking Targeting CoinX Exchange

North Korea, focusing on cryptocurrency hacking to secure funds for nuclear and missile development amid prolonged sanctions, has continued its thefts even during Chairman Kim Jong-un's visit to Russia.

According to global security firm SlowMist on the 14th, North Korea recently hacked the cryptocurrency exchange 'CoinEx,' stealing cryptocurrency worth between 43 million and 54 million dollars. This amounts to up to 71.7 billion Korean won. SlowMist analyzed that the hacking incident is likely attributed to North Korea's hacker group 'Lazarus.'

North Korean hacking

Earlier, CoinEx disclosed on the 12th that it had suffered a large-scale cryptocurrency theft due to a hacking attack. This day coincided with Chairman Kim Jong-un's arrival in Russia for a summit meeting with Russian President Vladimir Putin. While the supreme leader was away, North Korea continued not only ballistic missile provocations but also large-scale hacking.

Cryptocurrency hacking damages caused by North Korean authorities have been rapidly increasing every year. The United Nations Security Council's Panel of Experts on North Korea Sanctions reported on the 11th of last month that "North Korean hackers are estimated to have stolen 1.7 billion dollars last year, breaking previous records." This means approximately 2.2 trillion Korean won worth of cryptocurrency was stolen in 2022 alone.

According to blockchain tracking firms such as TRM Labs, as of the 18th of last month this year, about 200 million dollars (approximately 265.6 billion Korean won) have already been stolen. This exceeds 20% of all cryptocurrency thefts this year. Due to the nature of hacking, which requires time to identify the perpetrators, the scale of theft by North Korea is likely to increase further.

The reason North Korea focuses on cryptocurrency hacking is to secure funds for nuclear and missile development. Amid prolonged sanctions, stolen cryptocurrency is converted into cash and poured into costs for military provocations. The U.S. Federal Bureau of Investigation (FBI) recently warned the related industry that North Korea is attempting to cash out 40 million dollars (53.1 billion Korean won) worth of stolen Bitcoin.

Meanwhile, Lazarus is a representative hacker group under North Korea's Reconnaissance General Bureau. It has been identified as the main culprit behind major incidents such as ▲the theft of cash from Bangladesh Bank ▲the Sony Pictures hack ▲the WannaCry ransomware attack. For example, in 2016, Lazarus stole 81 million dollars, equivalent to 100 billion Korean won, from Bangladesh Bank. Earlier, in 2014, when Sony Pictures produced the movie 'The Interview,' which dealt with the assassination of Chairman Kim Jong-un, Lazarus retaliated by hacking the network and stealing confidential information.

This content was produced with the assistance of AI translation services.