North Korean hackers have reportedly stolen $1.3 billion in cryptocurrency this year, accounting for more than half of the $2.2 billion (£1.76 billion) total global crypto theft, according to a study by Chainalysis. This marks more than double the amount stolen by North Korea-linked groups in 2023.
The report suggests that some of these thefts were carried out by hackers posing as remote IT professionals to infiltrate cryptocurrency and tech companies. The findings highlight the increasing sophistication of cyber threats in the crypto industry.
Rising Crypto Theft in 2024
While the overall amount of cryptocurrency stolen in 2024 increased by 21% compared to last year, it remains below the levels seen in 2021 and 2022. The report attributes much of the theft to compromised private keys, which are essential for controlling access to user assets on crypto platforms.
“Centralized exchanges handle significant amounts of user funds, making private key compromises particularly devastating,” the study noted.
Major Incidents
Among the major breaches this year were the theft of $300 million in bitcoin from Japanese exchange DMM Bitcoin and a loss of $235 million from Indian crypto platform WazirX.
North Korea’s Role in Cybercrime
The U.S. government has accused the North Korean regime of using cryptocurrency theft and cybercrime to evade international sanctions and fund its weapons programs. Last week, a federal court in St. Louis indicted 14 North Koreans for their alleged involvement in a long-running scheme to extort funds from U.S. companies and channel the money to Pyongyang.
In response, the U.S. State Department announced a reward of up to $5 million for information related to the alleged conspiracy.
Industry Challenges
The surge in crypto theft in 2024 underscores the urgent need for stronger security measures within the industry. As the value of bitcoin and other cryptocurrencies continues to rise, the sector faces an increasingly complex and evolving threat landscape.
“The industry must prioritize robust security frameworks to mitigate risks and protect users from these growing threats,” the report concluded.