North Korea has become the third-largest Bitcoin holder after a $1.46 billion hack by the Lazarus Group, increasing its BTC holdings to 13,562 units. The United States and United Kingdom lead in government Bitcoin holdings, with 198,109 BTC and 61,245 BTC, respectively. North Korea’s surge in cryptocurrency reserves raises concerns about its financing of military programs and evolving cybercrime strategies.
North Korea has ascended to being the third-largest holder of Bitcoin among governments, following a significant cryptocurrency theft valued at $1.46 billion. On February 21, the Lazarus Group, a cybercriminal organization purportedly linked to the North Korean regime, executed a hack on Bybit, a major cryptocurrency exchange, resulting in the theft of nearly 401,000 Ethereum (ETH). Subsequently, a significant portion of the stolen assets was converted into Bitcoin, bringing North Korea’s holdings to approximately 13,562 BTC, or about $1.14 billion.
The United States retains its position as the largest Bitcoin holder with 198,109 BTC, valued at $16.71 billion, aided by its newly created Strategic Bitcoin Reserve (SBR). The United Kingdom ranks second with 61,245 BTC, approximately worth $5.17 billion. North Korea’s recent cryptocurrency gains enabled it to surpass both Bhutan, holding 10,635 BTC ($898 million), and El Salvador with 6,117 BTC ($516 million).
This sharp increase in North Korea’s cryptocurrency reserves occurred just before March 6, coinciding with an executive order from U.S. President Donald Trump that established the SBR. In the aftermath of the heist, although international efforts have been made to trace and freeze the illicit funds, North Korean hackers have successfully laundered around $300 million from the Bybit attack.
Tom Robinson, co-founder of blockchain analytics firm Elliptic, stated, “Every minute matters for the hackers who are trying to confuse the money trail, and they are extremely sophisticated in what they’re doing.” He added that the stolen funds are often funneled through intricate laundering processes and are believed to aid in financing North Korea’s military and nuclear ambitions.
The United States and its allies have long accused North Korea of executing numerous cryptocurrency hacks over the years. The Lazarus Group, which initially targeted banks, has shifted its entirety of operations toward cryptocurrency exchanges in the last five years. Experts are increasingly concerned about the group’s evolving strategies and the heightened scale of its thefts, seeing it as a rising threat to the global financial framework.
In summary, North Korea’s rise to become the third-largest holder of Bitcoin is primarily due to a significant theft executed by the Lazarus Group. The country has increased its holdings to over $1.14 billion in Bitcoin. Despite global countermeasures to counter cybercrime, the sophisticated laundering techniques utilized by North Korean hackers persistently challenge international efforts. The implications of these activities extend beyond financial theft, potentially financing military programs and posing a threat to global economic stability.
Original Source: theins.ru
