South Korea Takes Action Against North Korean Cyber Criminals

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As a seasoned crypto investor with over two decades of experience in this dynamic field, I find myself increasingly alarmed by the growing menace of North Korean cyber operations. The recent revelations about their involvement in global cryptocurrency heists and IT-related foreign currency generation to fund their military developments are deeply concerning.

South Korea is stepping up measures to prevent cyber attacks originating from North Korea, also known as the Democratic People’s Republic of Korea (DPRK). These attacks have become increasingly severe and concerning.

It’s claimed that these activities, such as stealing cryptocurrencies and generating foreign currency through IT means, are financing North Korea’s nuclear and ballistic missile development projects.

Crypto Crimes Funding Military Developments

On Boxing Day, the South Korean government declared that fifteen North Korean tech workers and one associated organization are now subject to autonomous sanctions, as stated in a press release.

As a crypto investor, I’ve come across rumors suggesting that certain people are linked to the 313th General Bureau, a body believed to be connected with North Korea’s Ministry of Munitions Industry. This ministry is known for managing the nation’s arms development initiatives.

Among this group, Kim-Cheol-Min stands accused of covertly supporting technology companies in the United States and Canada, allegedly transferring substantial funds to the North Korean government. Previously, Kim Ryu-Sung had faced charges in the U.S. due to alleged breaches of sanctions.

The measures will also target the Chosun Geumjeong Economic Information Technology Exchange Company, which is claimed to dispatch IT workers abroad to help generate foreign currency for North Korea. The money is reportedly used to finance military developments in the pariah nation.

Starting December 30, 2024, as per South Korean regulations, all financial dealings involving the specified persons or organizations need to be authorized by either the Financial Services Commission or the Governor of the Bank of Korea before they can proceed.

Growing North Korean Threat

The restrictions against the alleged DPRK agents come even as a recent Chainalysis report revealed that North Korean actors were responsible for 61% of the $2.2 billion stolen in 2024 in crypto heists across the globe. The hackers used sophisticated tactics, including malware deployment and social engineering, allowing them to target major digital asset companies.

On one occasion, the Decentralized Finance (DeFi) platform known as Radiant Capital experienced a hack worth $50 million, which was allegedly carried out by North Korean actors. The perpetrators executed the breach by spreading malware through Telegram, taking advantage of vulnerabilities in the platform’s security systems.

Moreover, it has been reported that the Lazarus Group, a well-known cybercrime organization, is suspected of orchestrating another heist worth approximately $50 million. This time, the target was the Upbit cryptocurrency exchange. South Korean authorities, working together with the FBI and Swiss prosecutors, have verified the group’s involvement and disclosed their connections to North Korea’s primary intelligence agency, the Reconnaissance General Bureau.

Security analyst Vasily Berdnikov from Kaspersky Labs additionally linked the criminal group to a complex plan of hacking, where they replicated a well-known blockchain game and inserted harmful code into its official site. This enabled them to install malware onto the devices of anyone who played the game.

Simultaneously, American officials have been addressing similar matters. On December 17, the Treasury’s Office of Foreign Assets Control (OFAC) imposed sanctions on two individuals, a group, for alleged activities involving the laundering of millions of dollars in cryptocurrency on behalf of the administration of Kim Jong Un.

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2024-12-27 07:32