South Korea join US against North Korean hackers involved in crypto thefts

South Korea has teamed up with the US in efforts to fight against North Korean hackers linked to cryptocurrency heists, according to the latest reports.

The collaboration between the two countries involves initiatives to track stolen digital assets and curb malicious activities that have resulted in over a billion dollars worth of cryptocurrency lost to the gang. This comes as the value of stolen cryptocurrencies rose by 21% to $2.2 billion this year while the number of recorded hacks reached an all-time high of 303.

Leading institutions in South Korea back the efforts to tackle crimes

The collaboration is aimed at developing tools that counter crypto-related crimes, especially those linked to the North Korean hackers. According to reports, the North Korean hackers have stolen up to $1.6 billion worth of digital assets this year alone. One of the most daring crypto thefts attributed to the North Korean gang involved 4,500 bitcoins worth $305 million from a Japanese crypto exchange DMM in May.

In August, Microsoft’s cybersecurity researchers learned of the hackers’ misdemeanors, their report revealed, adding that they took advantage of a previously unknown bug in Chrome to target organizations and steal their cryptocurrency. The report further states that the gang was affiliated with Citrine Sleet, which is known for targeting the crypto industry and financial service providers in general.

Now, the initiatives between the UU and South Korea also signal the intensifying crackdown on illicit crypto activities that are becoming a threat to economic stability and national security.

South Korea’s science ministry has thrown its weight behind the program through to 2026. This collaboration also involves other organizations such as Korea University, US-based RAND Corporation, and other government bodies as they seek to tackle the escalating threat.

According to Invezz, the two countries have signed an agreement to come up with strategies to prevent and track thefts linked to North Korea.

This collaboration, though the finer details of the agreement remained sketchy, it represents a major step towards the fight against the growing influence of North Korea-linked crypto hackers.

However, the experts who are coming together in this collaboration will focus on tracking stolen funds and identifying the laundering methods, as well as preventing more attacks.

The initiatives will dismantle enablers for the hackers

They will also make use of advanced technologies in their efforts to identify how illicit funds are converted into digital assets using methods like ransomware and distributed across global networks.

Blockchain analysis firm, Chainalysis has also emphasized the need to have such measures to tackle this threat, in which the North Korean hackers account for a significant share of the stolen crypto worldwide.

The collaboration is therefore intended to dismantle the infrastructure enabling such cybercrimes, addressing the technical complexities of tracking digital transactions across decentralized networks.

Putting together resources by the two countries, they aim to come up with a blue print that can be adopted by other countries who are facing similar threats.

The initiative will continue through 2026, while it is expected to pave way for more international partnerships to the challenges posed by the growing adoption of cryptocurrencies.

According to Invezz, the combined efforts by the two countries might weaken the networks that enable the North Korea-linked crypto crimes. However, this calls for sustained innovations to stay ahead of the cybercriminals due to the decentralized and anonymous nature of most blockchain platforms.

Meanwhile, the US is trying to curb the North Korean crypto criminal activities by using regulatory measures. Recently, the US Treasury’s Office of Foreign Assets Control imposed sanctions on two individuals and a United Arab Emirates-based company for their alleged roles in laundering funds obtained through North Korean cybercrimes.

The two individuals used the company to convert stolen crypto assets and send the money through to North Korea.

By targeting enablers in dominions with weak regulatory frameworks, the US aims to disturb the flow of illicit funds supporting North Korea’s broader activities such as the development of nuclear weapons. According to TechCrunch, due to tight international sanctions, the regime in North Korea has turned to stealing crypto to fund its nuclear weapons.

A UN panel of experts monitoring the implementation of international sanctions has also revealed that North Korea uses funds raised through cyber crimes to support its illicit ballistic missile and nuclear programs.

A Step-By-Step System To Launching Your Web3 Career and Landing High-Paying Crypto Jobs in 90 Days.