North Korean cybercriminals have achieved their most successful year yet in stealing cryptocurrencies. A new report from Chainalysis reveals that state-sponsored attackers have pilfered over $2.02 billion in cryptocurrency since January.
This represents a significant increase of more than 50% compared to the amount stolen in 2024, bringing their total identified haul from crypto theft since 2016 to $6.75 billion.
These illicit activities highlight how the heavily sanctioned nation is exploiting vulnerabilities within the cryptocurrency ecosystem to generate substantial revenue. US and UN national security officials have been warning since 2019 that funds acquired by these hacker groups are used to support North Korea's nuclear weapons and missile programs.
The Rise of North Korea Cryptocurrency Theft
According to Chainalysis, the cryptocurrency industry experienced $3.4 billion in theft through early December 2025. A single breach in late February accounted for a large portion of this, with North Korea-affiliated hackers stealing $1.5 billion from Dubai-based exchange Bybit. This was the largest theft in the industry's history in terms of stolen funds.
Eun Young Choi, an attorney at Arnold & Porter and a former federal prosecutor, stated that crypto heists have become "the easiest way for DPRK cyber actors to fund their regime." Hackers have become more sophisticated in their methods of stealing and laundering funds and have also benefited from the growth in value and adoption of cryptocurrency. This expansion has created more opportunities to exploit potential cyber vulnerabilities.
Sophisticated Laundering Techniques
Following the Bybit robbery, the hackers laundered the stolen funds using a complex network of maneuvers. This included moving the assets across numerous digital wallets and blockchains, and routing some of the funds through decentralized finance (DeFi) applications.
Earlier this week, Senator Elizabeth Warren urged the US Treasury and Justice Department to investigate how North Korean hackers and other illicit actors are using decentralized finance protocols to fund the regime. Even with recent declines in digital asset prices, the crypto industry has seen policy wins this year as the previous administration aimed to establish the US as the "crypto capital of the world."
Key Takeaways
- Record High: North Korea's cryptocurrency theft reached an all-time high in 2025.
- Billions Stolen: Over $2.02 billion stolen in 2025 alone.
- Funding Weapons Programs: Stolen funds support North Korea's nuclear weapons and missile programs.
- Sophisticated Techniques: Hackers employ complex laundering methods, including the use of DeFi.
Chainalysis's Fierman noted that "adoption only presents potentially more opportunity, but I think North Korea is simply just being more targeted and patient in finding the right candidates to exploit." This highlights the ongoing threat posed by North Korea's illicit crypto financing activities.
FAQs
How much cryptocurrency has been stolen by North Korea in 2025, and what is the total amount since 2016?
In 2025 alone, North Korea cryptocurrency theft reached a record high of $2.02 billion. Since 2016, the total identified haul from North Korea crypto hacking amounts to $6.75 billion.
What is the North Korea Lazarus Group crypto connection, and how are they laundering the stolen funds?
The Lazarus Group, a North Korean hacking group, is suspected to be involved in these cryptocurrency thefts. They employ sophisticated laundering techniques, including moving assets across multiple digital wallets and blockchains, and using decentralized finance (DeFi) applications.
What is the purpose of North Korea illicit crypto financing, and what are the implications for international security?
The stolen funds are used to support North Korea's nuclear weapons and missile programs. This raises significant national security concerns, prompting calls for investigation and stricter regulation of cryptocurrency to prevent further exploitation.
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