The research firm Chainalysis has released a new report claiming that North Korean hackers were responsible for more than half of the $2.2 billion in cryptocurrency thefts in 2024, which is 21% more than the previous year but still less than the thefts that broke records in 2021 and 2022.
North Korea’s Massive Share of Crypto Thefts
North Korean hackers were responsible for $1.3 billion of the stolen amount; double what they stole last year. Some of these hackers involved North Korean operatives pretending to be remote IT workers to infiltrate crypto and tech firms, according to the study.
North Korea has been accused by the US government of using these embezzled funds to support its weapons programs and avoid international sanctions. In fact, a federal court in St. Louis recently charged 14 North Koreans with participating in a massive extortion scheme.
Big Crypto Heists of 2024
This year saw some significant crypto thefts, including:
- $300 million stolen from DMM Bitcoin, a Japanese crypto exchange.
- $235 million swiped from WazirX, an Indian crypto platform.
Read more: Luxury Brands Embrace Crypto Payments
Why Crypto is Being Stolen
The primary cause of these thefts, according to the report, was compromised private keys. Cryptocurrency assets are accessed and managed using private keys, and losing them can have disastrous results.
“Centralised exchanges manage substantial amounts of user funds, so a private key compromise can be catastrophic,” a study noted.
Bitcoin’s Surge and a Changing Landscape
Bitcoin’s price has more than doubled this year, fueled by optimism that incoming US President Donald Trump will be more favourable toward cryptocurrency than Joe Biden. The increase in cryptocurrency thefts, however, highlights the necessity of stronger security measures to counteract increasingly complex hacking methods.
A Reward for Information
Anyone with information about North Korea’s supposed cryptocurrency theft schemes could receive up to $5 million, according to a reward offered by the US State Department.
As cryptocurrencies gain more value and attention, they are becoming an even bigger target for hackers. The industry must improve its security to protect users’ funds in an ever-evolving threat landscape.
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