The issue between North Korean hackers and Tornado Cash, a cryptocurrency platform, has become a major concern in the market. A team of experts has discovered a connection between the country and the company.
North Korea and Tornado Cash
A panel of United Nations experts monitoring events in North Korea has revealed that there is a link between the country and Tornado Cash, a mixer platform. An undisclosed document presented to the UN Security Council sanctions committee showed that North Korea used Tornado Cash to launder $147.5 million worth of hacked cryptocurrency in the first half of this year.
The team of experts, comprising eight members, was dissolved in April after Russia vetoed their mandate renewal. However, the unfinished report they prepared mentions the investigation of 97 suspected cyberattacks by North Korea targeting cryptocurrency companies and assets worth $3.6 billion.
Details of Crypto Attacks
The report includes various attacks that occurred between 2017 and 2024. One notable attack was the theft of $147.5 million from the Seychelles-based crypto exchange HTX last year. It was discovered that the stolen funds were laundered using Tornado Cash in March, as per data provided by crypto analysis firm PeckShield and blockchain research firm Elliptic.
The report also highlights that there have been 11 crypto thefts worth $54.7 million this year alone. It was revealed that a significant number of these attacks were carried out by North Korean IT workers who were mistakenly hired by small crypto-related companies.
In 2022, the US Treasury Department’s Office of Foreign Assets Control (OFAC) imposed sanctions on Tornado Cash. These sanctions revealed that over $7 billion worth of cryptocurrency, including $455 million seized by the North Korean hacker group Lazarus Group, was laundered through the platform.
Furthermore, it is mentioned that North Korea is using cyberattacks to finance its nuclear and missile programs. Recently, the developer of Tornado Cash received a penalty.
Please note that the information in this article should not be considered investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and conduct their own research.
