US Goes After 280 Cryptocurrency Accounts Linked To North Korean Hackers

The United States Department of Justice said Thursday it was filing a civil complaint to seize millions of dollars worth of cryptocurrency linked to two attacks on virtual currency exchanges by alleged North Korean hackers.

What Happened: Prosecutors are moving to seize 280 accounts, which they say were used by North Korean hackers to launder millions of dollars through Chinese over-the-counter cryptocurrency traders, according to a statement.

The civil complaint comes after two related criminal and civil actions were announced in March related to the theft of $250 million in cryptocurrency through other exchange hacks by North Korean hackers, the prosecutors said.

“As North Korea becomes bolder and more desperate in their efforts to steal money using sophisticated money laundering techniques, [Homeland Security Investigations] will continue to apply pressure by exposing their fraudulent transactions,” said Special Agent Steven Cagen of U.S. Immigration and Customs Enforcement’s HSI.

Why It Matters: North Korea is under sanctions imposed by the United Nations aimed at preventing the country from furthering its nuclear and ballistic missile programs, noted Reuters.

Attacks on cryptocurrency exchanges are a source of income for North Korea without oversight from regulators, according to U.N. experts.

Last year in a confidential report, the U.N. said North Korea generated $2 billion in cyberattacks to fund its weapons program, Reuters reported separately. 

Price Action: Bitcoin traded 0.42% higher at $11,446.75 at press time on Friday. Ethereum traded 1.7% higher at $390.9.

Photo courtesy: The White House via Flickr