US, Japan, and South Korea Blame North Korea for WazirX Cyberattack
The United States, Japan, and South Korea have accused North Korea's Lazarus Group of cyberattacks on global crypto platforms, including the significant July 2024 breach of WazirX, which resulted in a loss of $235 million. This assertion aligns with findings from blockchain analytics firm Elliptic.
Key points include:
- The hack compromised over 45% of WazirX’s total crypto holdings, leading to a halt in trading and operational activities.
- WazirX aims to resume operations and compensate affected users by February 2025.
- North Korea-linked hacks reportedly stole over $3 billion from 2017 to 2023, with 17 documented heists in 2023 valued at over $750 million.
- The WazirX breach was the second-largest attack in 2024, following a $308 million breach of DMM Bitcoin.
- Other notable thefts attributed to Lazarus include Upbit ($50 million), Radiant Capital ($50 million), and Rain Management ($16.13 million).
- Over 50% of North Korea’s foreign currency earnings in 2024 are estimated to come from cyber thefts.
In response, the three governments are enhancing collaboration through sanctions against DPRK cyber actors, asset recovery efforts, and bolstering cybersecurity in the Indo-Pacific region. The need for improved security measures in the crypto sector is increasingly urgent.