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North Korean Hackers Exploit Cryptocurrency Industry With Fake Job Applications
A sophisticated and alarming threat has emerged in the cryptocurrency world: North Korean hackers are now posting fake job applications on job boards and have already defrauded $600 million. These covert operations aim to infiltrate cryptocurrency projects to access sensitive information, compromise systems, and steal assets.
A recent one DL News Investigation revealed that these fake candidates pose a significant security risk.
The alarming conclusions of the UN
According to the United Nations Security Council, more than 4,000 North Koreans have been secretly deployed to infiltrate the tech sector, including the cryptocurrency industry. The council’s report notes that North Korean hackers have stolen $3 billion in cryptocurrency through 58 suspected cyberattacks over the past seven years. While the exact role of these fake employees in these attacks remains unclear, experts warn that this could be just the beginning.
A growing industry under siege
The cryptocurrency sector is expanding rapidly, with Bitcoin ETFs becoming mainstream, and decentralized finance (DeFi) projects like Solana and Aave are gaining momentum. This surge has led to unprecedented demand for developers. Major cryptocurrency exchanges like Coinbase and Binance advertised over 1,200 new positions in May, underscoring the rapid growth of the sector.
Security Risks in the Digital Age
However, the rise of fake applications threatens to undermine the core values of the industry, namely anonymity and pseudonymity. The lack of rigorous background checks allows North Korean agents to easily infiltrate cryptocurrency companies. As a result, 95% of clients have stopped hiring pseudonymous developers to mitigate this risk.
For North Korean cryptocurrency workers, the financial rewards are substantial. Some earn as much as $60,000 a month, with the highest-earning workers keeping 30 percent of their earnings, with the rest going to authorities in Pyongyang. That’s a significant sum in a country struggling with severe poverty.
The Lazarus Group: A Persistent Threat
The infamous Lazarus Group, a North Korean hacking organization, was responsible for the $540 million Ronin Bridge hack in 2022. By 2023, Lazarus had stolen approximately $3.4 billion in cryptocurrency since its inception. It is widely believed that North Korea is using these cybercriminal activities to fund its nuclear weapons program.
Given that North Korean hackers are already entrenched in the industry, it is critical for us to increase our awareness and strengthen our hiring protocols.
Read also: Dr. Goertzel’s Account Has Been HACKED! Fake Token Giveaway Targets Crypto Fans
The future of cryptocurrency is at stake. Will we stay ahead of the curve or become another playground for state-sponsored hackers? The choice is ours.