- Measures will trace and neutralize crypto that North Korean hackers have stolen
- They stole the equivalent of $1.28B in Bitcoin and Ethereum in 2023
- Crypto theft and cyberattacks fund half of North Korea’s missile program
The government of South Korea drafted a bill to freeze and track North Korean crypto and other digital assets used to fund the communist country’s illegal weapons programs, South Korean media source Joongang Daily reported.
A high-ranking government official who wished to remain anonymous said the new bill aimed to repair South Korea’s cybersecurity framework “urgently.” The previous administration, led by Moon Jae-in, allegedly let it fall into ruin just so North Korea wouldn’t be “offended.”
An administration insider added the bill contained measures to trace and neutralize crypto assets that North Korean hackers stole and cashed out.
North Korean hackers stole $1.28B in 2022
According to South Korean intelligence, North Korean hackers stole the equivalent of $1.28 billion in Bitcoin and Ethereum last year.
During Parliament’s government audit, which also took place last year, Yoon Han-hong of the conservative People Power Party (PPP) announced that hacker groups laundered crypto worth a total of $52.46 million after entering South Korean crypto exchanges over the last few years.
In 2021, North Korea extracted nearly $400 million worth of digital assetsin up to ten attacks on crypto platforms.
Citing Chainalysis reports, Joongang Daily wrote that North Korean hackers have stolen more than $3 billion over the past five years.
Cybercrime proceeds in direct proportion to missile tests
North Korea’s cybercrime proceeds stand in direct proportion to the number of missile tests carried out by the regime. In April 2023, it conducted its first successful solid-fuel intercontinental ballistic missile test. It also launched almost 100 cruise and ballistic missiles in 2022.
In May 2023, US security adviser Anne Neuberger stated that crypto theft and cyberattacks funded around half of North Korea’s missile program.
Effective enforcement measures
The South Korean government will set up a national cybersecurity committee, over whom the president will have direct control. It will enforce measures to fortify national security defenses and thwart foreign hacking attempts.
One measure involves the power to prohibit sale, import, and manufacture of “products that interfere with cybersecurity,” a PPP official and insider told the Joongang Daily.
