The U.S. Department of Justice has filed a civil forfeiture complaint to seize approximately $7.74 million in cryptocurrency allegedly obtained by North Korean IT workers using fake identities to work as remote contractors at blockchain firms. The funds, which include various cryptocurrencies like stablecoins and Bitcoin, were frozen in April 2023 during an indictment against a banker aiding in money laundering efforts for these IT workers. The Justice Department emphasized that North Korea exploits the cryptocurrency ecosystem to fund illicit activities. It noted that the IT workers employed deceptive strategies to gain employment across multiple countries and utilized methods like chain hopping and token swapping to launder their earnings. The ultimate goal was to transfer the laundered money back to the North Korean regime. This case reflects the increasing infiltration of the crypto industry by North Korea amid tighter scrutiny by global authorities.

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