Binance Freezes $4.4 Million in Crypto Related to North Korean Hackers

On May 25, Binance announced the seizure of approximately $4.4 million in cryptocurrencies belonging to fronts of North Korean organizations operating at home and abroad.

Due to sanctions against the rogue nation, agents working for it have often turned to illegal methods of raising funds, including the theft of crypto.

illegal research grant blocked

The money seized today was to be sent to the Pyongyang University of Automation, responsible for training North Korea’s notorious hackers. According the US Treasury Department, and the North Korean Technical Reconnaissance Bureau, which employs the aforementioned bad actors.

Most of the cybercriminals trained at the Pyongyang University of Automation are part of the 110th Research Center, the unit responsible for running the Lazarus Group and similar groups.

To fund these entities, North Korean IT professionals – often based in Russia and China – seek employment in companies around the world, paying their salaries to the North Korean government. However, the latest batch of funding was put on hold due to efforts by the US government and Binance.

We are proud to have assisted US law enforcement in seizing and freezing accounts linked to North Korean organized crime over $4.4M.

Congratulations to our law enforcement partners and the Binance Investigations team for their unwavering commitment to combating crime around the world.

– Binance (@binance) May 24, 2023

A spokesman for the US Treasury, Brian Nelson, thanked his “partners in the private sector” for the help offered.

“Today’s actions continue to expose the DPRK’s extensive illegal cyber and IT activist operations, which finance the regime’s illegal weapons of mass destruction and ballistic missile programs. The United States and our allies are committed to combating the DPRK’s illegal revenue-generating activities and continued efforts to steal money from financial institutions, virtual currency exchanges, companies, and private individuals around the world.”

commitment to a safer world

Binance has come under fire before for allegedly not doing enough to stop cybercriminals and radical groups from receiving funds from sympathizers around the world.

However, the firm has responded to the allegations, stating that the team does everything in its power to stop these actions.

In reality, cyber security is a numbers game – the fact that some bad actors manage to squeeze through the net says nothing about the vast majority of bad actors out there. This is amplified by the fact that companies don’t publicly announce which bad actors they stopped and how, because that would allow others to find out.