News Report Technology
January 25, 2024

North Korean Crypto Cyberattacks Spike, Yet Fund Theft Dropped by 40%: Report

In Brief

North Korean-linked hacks of crypto platforms rose in 2023 though funds stolen dropped around 40%, as per a Chainalysis report.

North Korean Crypto Cyberattacks Spike, Yet Fund Theft Dropped by 40%: Report

The number of North Korean-linked hackers including Kimsuky and Lazarus Group, attacking cryptocurrency platforms reached a record high in the year 2023, according to a report from blockchain analysis firm Chainalysis.

The same report highlights that despite a rise in attacks, the actual amount of funds stolen dropped around 40%. In over 20 hacks throughout the year, cybercriminals siphoned slightly over $1 billion worth of cryptocurrency compared to $1.7 billion stolen in 2022.

According to the report, the decline in funds signals a broader trend observed in the cryptocurrency security landscape, particularly within decentralized finance (DeFi) protocols. Amidst an overall decrease in DeFi activity, the total amount stolen from these protocols saw a 64% decrease, from $3.1 billion in 2022 to $1.1 billion in 2023.

This downward trajectory in DeFi-related theft can be attributed to enhanced security practices adopted by DeFi applications, coupled with guidance from industry giants such as Microsoft and Alphabet’s Google to strengthen networks against malicious intrusions.

“There have been some positive aspects that have started to slow their success in making off with hundreds of millions of dollars in one attack,” said Erin Plante, vice president of investigations at Chainalysis. “But the threat’s not going away by any means.”

In recent years, DeFi protocols have become a prime target for hackers as their source code is readily available online and cyberattackers find it easier to identify and exploit vulnerabilities within these protocols.

Need for Enhanced Monitoring Amid DPRK Hacker Activity

Phishing and social engineering emerged as the most preferred way of attack for Democratic People’s Republic of Korea (DPRK) linked hackers in 2023. This highlights the critical need for employee education and awareness within organizations. Plante stresses the importance of cybersecurity strategies and making employees up to date with technical defenses against cyber threats.

“They look at what’s changing, what’s evolving, and how they can use that malicious intent,” said Joe Dobson, principal analyst at the cybersecurity firm Mandiant. “Whatever the advancement is, they’re going to find a way to take advantage of it.”

There is a need to enhance network monitoring and security protocols to combat the threat posed by North Korean-linked hacking groups. Given hackers’ tendency to linger within networks, vulnerable platforms must prioritize implementing systems for monitoring on-chain activities and decreasing dependence on centralized products and services.

Despite the decline in illicit gains, the resilience and adaptability demonstrated by North Korean-linked hacking groups underscore the persistent threat they pose to the cryptocurrency ecosystem.

Disclaimer

In line with the Trust Project guidelines, please note that the information provided on this page is not intended to be and should not be interpreted as legal, tax, investment, financial, or any other form of advice. It is important to only invest what you can afford to lose and to seek independent financial advice if you have any doubts. For further information, we suggest referring to the terms and conditions as well as the help and support pages provided by the issuer or advertiser. MetaversePost is committed to accurate, unbiased reporting, but market conditions are subject to change without notice.

About The Author

Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.

More articles
Kumar Gandharv
Kumar Gandharv

Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.

Hot Stories

How GAMEE Is Making Web3 Irresistibly Fun

by Victoria d'Este
May 09, 2025
Join Our Newsletter.
Latest News

The Calm Before The Solana Storm: What Charts, Whales, And On-Chain Signals Are Saying Now

Solana has demonstrated strong performance, driven by increasing adoption, institutional interest, and key partnerships, while facing potential ...

Know More

Crypto In April 2025: Key Trends, Shifts, And What Comes Next

In April 2025, the crypto space focused on strengthening core infrastructure, with Ethereum preparing for the Pectra ...

Know More
Read More
Read more
How GAMEE Is Making Web3 Irresistibly Fun
Interview Business Markets Technology
How GAMEE Is Making Web3 Irresistibly Fun
May 9, 2025
Bitget Announces Strategic Partnership With SWEAT To Boost Movement Economy In Web3
News Report Technology
Bitget Announces Strategic Partnership With SWEAT To Boost Movement Economy In Web3
May 9, 2025
Lorenzo Protocol Evolves Into Institutional-Grade On-Chain Asset Management Platform With New Upgrade
News Report Technology
Lorenzo Protocol Evolves Into Institutional-Grade On-Chain Asset Management Platform With New Upgrade
May 9, 2025
Vana Introduces Vana Academy To Support Data Capital Business And Advance AI Data Economy
News Report Technology
Vana Introduces Vana Academy To Support Data Capital Business And Advance AI Data Economy
May 9, 2025