In 2024, North Korea reached new heights in cybercrime, stealing over $1.3 billion in crypto assets.
Sophisticated Tactics Drive Record-Breaking Crypto Theft Year
North Korea nearly doubled its crypto thefts in one year, earning $1.3 billion. Chainalysis reported 47 separate incidents where hackers initially made smaller profits, usually under $50 million. These operations are now larger and more sophisticated, employing tactics such as fake identities, remote access, and posing as hiring agents to evade detection and steal larger sums.
A Shift in Strategy Amid Global Tensions
Chainalysis observed a decrease in North Korea's crypto attacks around June, coinciding with a high-profile meeting between Russian President Vladimir Putin and North Korean leader Kim Jong Un. This meeting has fueled speculation that the DPRK might have shifted its cybercriminal strategies to strengthen ties with Russia, possibly supporting Russia in the ongoing Ukraine war. This shift led to a temporary reduction in hacking activity.
US Cracks Down on North Korean Crypto and Cyber Fraud
In December 2024, the U.S. Department of Justice made significant moves against North Korean crypto hackers, indicting 14 individuals involved in a major IT fraud scheme. The indictment revealed a complex operation using fake identities for wire fraud and money laundering. The illicit funds were reportedly channeled back to North Korea, highlighting the growing international efforts to counter the DPRK's reliance on cybercrime to finance its weapons program.
These developments underscore the need for stronger defenses in the crypto industry. Experts urge firms globally to strengthen partnerships with U.S. law enforcement to prevent future hacks.
