North Korea reportedly funneled over $147 million through the cryptocurrency mixer Tornado Cash in March. Confidential reports by United Nations sanctions monitors suggest that this came after the funds were stolen from a cryptocurrency exchange late last year.
UN reveals North Korea’s crypto attacks
According to reports, the UN monitors submitted a document to the Security Council’s sanctions committee. It details their investigation into 97 suspected North Korean cyberattacks on crypto linked firms from 2017 to 2024.
It noted that these attacks piled up around $3.6 billion and the theft of $147.5 million from the HTX exchange was included among these incidents. The assets were then laundered through Tornado Cash in March. It highlighted that insights from crypto analytics firm PeckShield and blockchain research firm Elliptic supported the report.
The report mentioned that in 2024 alone, the UN monitors had reviewed 11 crypto thefts worth around $54.7 million. However, many of these attacks were allegedly done by North Korean IT workers unknowingly employed by small crypto companies.
As per UN member states and private firms, these IT workers generate huge income for North Korea. The Democratic People’s Republic of Korea (DPRK) has already faced UN sanctions since 2006 that are aimed at cutting funding for its missile and nuclear programs.
It is important to note that the US has sanctioned Tornado Cash while in 2022 it accused it of aiding North Korea. In 2023, Tornado Cash’s two co founders were charged with making a way for $1 billion in money laundering. Meanwhile, one of its co founder was pleaded not guilty.
What happened?
The UN sanctions monitors were disbanded at the end of April after Russia vetoed their mandate renewal. However, some authorities submitted unfinished work to the committee on Friday and they bypassed the traditional review process.
The monitors also investigated a February New York Times report that Russia released $9 million out of $30 million in frozen North Korean assets and allowed Pyongyang to open an account at a Russian bank in South Ossetia for better access to international banking networks.
The crypto industry is already trading with high volatility as it recorded a marginal decline on Wednesday. The cumulative crypto market cap stands at $2.26 trillion. Bitcoin has been down by 7% over the last 30 days. BTC is trading at an average price of $62,081, at the press time.