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A recent report released by the United Nations Security Council has shed light on North Korea's growing involvement in cyberattacks, which now account for almost half of its foreign currency earnings, as reported by Nikkei Asia. The report highlights how North Korea has capitalized on the vulnerabilities present in crypto-related entities, including protocols and companies, amassing approximately $3 billion in earnings.

While the report lacks legally binding directives, it is expected to prompt the Security Council and its member states to consider imposing new sanctions on entities or individuals found to be in violation. Additionally, the report underscores that around 40% of funds used for the development of weapons of mass destruction have been obtained through cyberattacks. Notably, recent targets of these operations include defense-related companies, with hackers affiliated with the Reconnaissance General Bureau, a primary North Korean foreign intelligence service, increasingly sharing infrastructure and tools.

Despite efforts to implement economic sanctions aimed at disrupting financial flows to North Korea and regulating imports and exports, cybercriminals linked to the country continue to target the cryptocurrency market.

In 2023 alone, North Korea-linked hackers reportedly stole nearly $430 million from decentralized finance (DeFi) platforms and also targeted centralized services, exchanges, and wallet providers, according to data from blockchain forensics firm Chainalysis. The firm highlighted that hacking groups such as Kimsuky and Lazarus Group executed 20 successful attacks against various platforms, resulting in approximately $1 billion worth of cryptocurrency being stolen in 2023, representing a 41.7% decrease in stolen funds compared to 2022.

Chainalysis emphasized, "Although the total amount stolen from crypto platforms in 2023 was down significantly from prior years, it is clear that attackers are becoming increasingly sophisticated and diverse in their exploits."

Furthermore, in the past year, hackers managed to pilfer only $1.1 billion from smart contracts, indicating a 63.7% year-over-year decrease in the total value stolen from decentralized finance. Experts attribute this decline to the enhanced security measures implemented in DeFi protocols.