North Korean Hackers Identified in $42 Million Ethereum Heist of 2019.
South Korean authorities have concluded an investigation linking North Korea’s military intelligence agency to a 2019 Ethereum cryptocurrency heist valued at 58 billion won (approximately $41.5 million at the time).
The hackers infiltrated a cryptocurrency exchange and stole 342,000 Ethereum tokens, now worth over 1.4 trillion won ($1 billion). More than half of the stolen assets were laundered through three crypto exchanges set up by the hackers, often at discounted rates to Bitcoin.
The remainder was processed through 51 other exchanges worldwide, according to South Korea’s National Police Agency.
While officials did not name the compromised exchange, South Korea-based Upbit had previously reported a suspicious transfer of Ethereum worth 58 billion won to an unidentified wallet.
Media reports have identified the culprits as members of the Lazarus and Andariel groups, both tied to North Korea’s Reconnaissance General Bureau, a military intelligence unit.
South Korean police, working in cooperation with the U.S. Federal Bureau of Investigation (FBI), traced the attack using Internet Protocol (IP) addresses and monitored the flow of stolen assets.
The incident marks the first confirmed cyberattack by North Korea on a South Korean crypto exchange, highlighting the increasing sophistication of the country’s cyber operations.
A United Nations panel reported earlier this year that North Korea is suspected of conducting 97 cyberattacks on cryptocurrency companies between 2017 and 2024, stealing an estimated $3.6 billion.
As part of the investigation, authorities recovered 4.8 Bitcoin linked to the heist, which were traced to a Swiss crypto exchange. The recovered assets, valued at around 600 million won, were returned to the South Korean exchange in October.
North Korea has consistently denied any involvement in cyberattacks or cryptocurrency theft, but this case adds to the growing body of evidence implicating the regime in global cybercrime operations.
