TRM Labs Reports North Korea's Related Group As The Highest Crypto Theft Perpetrator In 2023

A report from blockchain intelligence firm TRM Labs stated that the group linked to the Democratic People's Republic of Korea (DPRK) is responsible for about 33% of the total cryptocurrencies stolen via hacking in 2023.

According to a report on January 5, TRM Labs said that North Korean hackers could potentially steal up to $700 million in cryptocurrency in 2023, of which 600 million US dollars (Rp9.2 trillion) was confirmed through its research.

Korean hacker Utrara has stolen about $3 billion in cryptocurrencies since 2017. This shows that the country's attacks involve digital assets that have continued to increase in the past year.

The blockchain firm reports that the DPRK's money laundering method continues to "progress continuously to avoid pressure from international law enforcement." Research shows that hackers almost always compromise personal locks or user seed phrases, transfer funds to wallets controlled by the DPRK, and then exchange the assets for the Tether (USDT) or Tron (TRX).

"North Korea's hacking expertise requires continuous vigilance and innovation from businesses and the government," said TRM Labs. "Despite significant advances in cybersecurity among exchanges and increased international cooperation in tracking and restoring stolen funds, by 2024 it is likely to see more disruption from the world's largest cyber thieves."

United States Treasury Department officials imposed sanctions on individuals and hacker groups they claim to be linked to North Korea, including Lazarus. After the department sanctions against the Tornado Cash crypto mixer and totaling it, TRM Labs reported that North Korea was "continue to explore other washing tools."

Meanwhile, CertiK reported on January 3 that there were about 751 violations in 2023, resulting in losses of more than USD 1.8 billion (IDR 27.7 trillion) in crypto form a third of which is suspected to be the responsibility of North Korean hackers. The Ethereum network reportedly recorded the highest loss of USD 686 million (IDR 10.5 trillion) through 224 incidents.

US officials often refer to digital assets as a reason to impose sanctions on certain entities, including the Hamas terrorist group after its October 7 attacks on Israel. Crypto mixing is also a special target for lawmakers, who claim that the technology is mostly used for illegal purposes.