 has accused North Korea of pulling off the largest cryptocurrency theft in history.){kind=link}
Key Takeaways:
- North Korea allegedly stole $1.5 billion in cryptocurrency from a Dubai-based exchange called Bybit.
- The FBI linked the theft to the Lazarus Group, a notorious hacking group tied to North Korea.
- The hackers laundered stolen funds by converting them to Bitcoin and spreading them across multiple blockchains.
- North Korea has been accused of multiple high-profile cyberattacks to fund its nuclear program.
The Heist
In a shocking revelation, the U.S. Federal Bureau of Investigation (FBI) has accused North Korea of pulling off the largest cryptocurrency theft in history. Last week, Bybit, a cryptocurrency exchange based in Dubai, reported losing 400,000 Ethereum, valued at $1.5 billion. The attackers exploited security gaps during a transaction to siphon funds to an unknown wallet.
The FBI stepped in and identified the Lazarus Group, also known as TraderTraitor, as the masterminds behind the theft. This group is linked to North Korea and has a history of high-profile cyberattacks.
Since the heist, the hackers have been scrambling to cover their tracks. They’ve converted some stolen assets into Bitcoin and scattered them across thousands of addresses on multiple blockchains. The FBI warns that these funds are likely to be laundered further and eventually turned into traditional currency.
Who Is Behind It?
The Lazarus Group first made headlines nearly a decade ago when it hacked into Sony Pictures as retaliation for the movie The Interview, which mocked North Korea’s leader, Kim Jong Un. Since then, the group has been linked to several massive cybercrimes.
One of their most notable attacks was the 2022 theft of $620 million from the Ronin Network, a platform tied to the popular game Axie Infinity. This was the largest crypto theft until Bybit’s recent breach.
Just last December, Lazarus Group was also accused of stealing over $300 million from DMM Bitcoin, a Japan-based exchange.
Why Does North Korea Do This?
North Korea’s cyber-warfare program dates back to the 1990s, and the country has become known as one of the world’s most active cyber-thieves. A 2020 U.S. military report revealed that North Korea’s cyber-warfare unit, Bureau 121, has grown to include 6,000 operatives working in several countries.
The stolen funds are believed to fuel North Korea’s nuclear weapons program and help the regime bypass international sanctions. A recent United Nations report estimates that North Korea has stolen over $3 billion in cryptocurrency since 2017.
How Do They Get Away With It?
North Korea’s cyber operations are reportedly directed by the Reconnaissance General Bureau, the country’s primary foreign intelligence agency. The hackers are highly skilled at laundering stolen funds to avoid detection.
In the Bybit case, the FBI noted that the stolen assets were rapidly moved across multiple blockchains to evade tracking. This tactic makes it difficult for authorities to recover the funds or trace them back to the attackers.
The Bigger Picture
The Bybit hack is just the latest example of North Korea’s growing reliance on cybercrime to sustain its economy. As global sanctions tighten, Pyongyang has turned to