The ongoing issue between North Korean hackers and Tornado Cash, a cryptocurrency platform, has become a major concern for the market. A team of experts has recently discovered a link between the country and the company.
According to a confidential document presented to the UN Security Council sanctions committee, North Korea allegedly used Tornado Cash to launder $147.5 million worth of hacked cryptocurrency in the first half of this year. This information was shared by a United Nations expert panel that monitors events in North Korea.
The expert team, which consisted of eight members, was disbanded in April after Russia vetoed the renewal of their mandate. However, they managed to present an unfinished report that mentioned the investigation of 97 suspected cyberattacks by North Korea. These attacks targeted cryptocurrency companies and amounted to a total of $3.6 billion in assets.
Among the known attacks that took place between 2017 and 2024, the report also highlighted a $147.5 million theft from the Seychelles-based crypto exchange HTX last year. It was revealed that the stolen funds were laundered using Tornado Cash in March, according to data provided by crypto analysis firm PeckShield and blockchain research firm Elliptic.
The report also mentioned that the observers investigated 11 crypto thefts worth $54.7 million this year alone. Interestingly, 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 stated that over $7 billion worth of cryptocurrency, including $455 million seized by the North Korean hacker group Lazarus Group, had been laundered through the platform.
Furthermore, it was revealed that North Korea is utilizing cyberattacks to finance its nuclear and missile programs. Recently, the developer of Tornado Cash received a penalty in connection with these activities.
Disclaimer: The information provided in this article should not be considered as investment advice. Investors should be aware of the high volatility and risks associated with cryptocurrencies and conduct their own research.
