North Korea’s Bitcoin Holdings Surge Following Bybit Hack by Lazarus Group

North Korea has become the fifth-largest sovereign Bitcoin holder after its Lazarus Group hacked Bybit for over $1.4 billion, surpassing Bhutan and El Salvador. Lazarus now controls 13,518 BTC, while Bhutan and El Salvador hold 10,635 BTC and 6,118 BTC, respectively. These funds are reportedly financing a substantial portion of North Korea’s nuclear missile programs.

The Democratic People’s Republic of Korea (DPRK) has emerged as the fifth-largest sovereign holder of Bitcoin, surpassing Bhutan and El Salvador, following a significant cyber theft by the Lazarus Group. This organization has accumulated approximately 13,518 BTC, valued at around $1.1 billion, due to extensive cyber attacks and crypto exploits, notably the DMM Bitcoin and Ronin Network incidents.

Previously, Bhutan held a trove of 10,635 BTC, primarily amassed through large-scale mining, while El Salvador, the first nation to recognize Bitcoin as legal tender, possessed 6,118 BTC. North Korea’s recent accumulation positions it behind only the United States, which holds 198,109 BTC, China with 194,000 BTC, the United Kingdom at 61,000 BTC, and Ukraine with 46,351 BTC in sovereign Bitcoin holdings.

The uptick in North Korea’s Bitcoin wealth correlates with Lazarus’ hack on Bybit in February, during which the crypto exchange reported the theft of over 400,000 Ether from its cold storage wallet. Utilizing decentralized finance protocols, Lazarus executed swaps from Ethereum to Bitcoin despite criticism of inadequate anti-criminal safeguards. According to reports, these illicit gains are believed to fund nearly 50% of North Korea’s nuclear missile initiatives.

The article highlights North Korea’s rise to become a major Bitcoin holder, primarily due to cyber crimes perpetrated by the Lazarus Group. Surpassing both Bhutan and El Salvador, North Korea’s Bitcoin assets now rank fifth globally. The funds acquired through hacking activities significantly contribute to the nation’s nuclear programs, demonstrating the intertwining of cyber crime and state-sponsored initiatives.

Original Source: crypto.news