North Korean Coin Thieves... Stole 1.2 Trillion Won Worth Last Year

Report Submitted by the UN Security Council Sanctions Committee on North Korea

[Asia Economy Reporter Kum Bo-ryeong] Hackers linked to North Korea are believed to have stolen virtual currency worth more than 1.2 trillion won last year, marking the largest amount ever recorded.

According to major foreign media including the AP on the 7th (local time), the expert panel of the UN Security Council's North Korea Sanctions Committee recently reported to the committee that North Korea stole the largest amount of virtual currency assets last year. It explained that these funds are being used to finance nuclear weapons development.

Bitcoin (Photo by AP Yonhap News)

The report cited estimates from an unnamed cybersecurity firm, explaining that the scale of virtual currency stolen by North Korea through hacking last year was at least $630 million (about 794.4 billion won) to over $1 billion (1.26 trillion won).

It also pointed out that the technology used by the hacker groups is becoming increasingly sophisticated, making it more difficult to trace the stolen funds.

Most of North Korea's cyberattacks are carried out by groups under the control of the Reconnaissance General Bureau, including hacker organizations such as Kim Su-ki, Lazarus Group, and Andariel.

According to the report, North Korean hacker groups primarily targeted foreign aerospace and defense industry companies and their employees. They used various methods such as phishing to implant malicious software and then exploited it to gain profits or demand information necessary for weapons development.

The expert panel stated, "Initial contact with individuals was made through LinkedIn, and after building some trust with the targets, malicious programs were delivered via messengers like WhatsApp."

Besides the UN, on the 2nd, the US blockchain analysis firm Chainalysis reported that virtual assets worth $3.8 billion (about 4.7 trillion won) were stolen worldwide last year due to hacking. The main culprits were North Korean hackers, who stole nearly half of this amount, approximately $1.65 billion (about 2 trillion won), in virtual assets.

According to the UN and others, North Korea is believed to be using the stolen virtual assets as funding sources for nuclear weapons and missile development. North Korea reportedly conducted eight intercontinental ballistic missile (ICBM) test launches last year and completed preparations for its seventh nuclear test.

Chainalysis analyzed, "Considering that North Korea's total exports in 2020 were only $142 million, virtual asset hacking constitutes a significant portion of North Korea's economy."