UN: North Korea Uses Hong Kong-Based Blockchain Company to Launder Money

North Korea has been utilizing a Hong Kong-based blockchain firm to launder money, as per a quarterly report published by the UN Security Council’s Sanctions Committee on North Korea.

As detailed by South Korean paper Chosun, North Korea utilized a shipping and logistics company dubbed Marine China, which operates on a blockchain platform, to circumvent global sanctions by laundering stolen digital currency.

The report asserts a man named Julian Kim, under the alias Tony Walker, was the sole proprietor and investor in the company and had tried to withdraw money from banks in Singapore on a few occasions. According to Chosun, the UN alleges the laundering scheme, which likewise included another undisclosed individual connected to the company, circulated the stolen crypto through as much as 5,000 transactions in different nations to muddle its source.

The report adds that North Korea has created precision “spear phishing” assaults. In three years, a past UN report stated, 17 nations have been targeted by its hacking specialists causing in more than $2 billion in losses—a figure that the system has repudiated.

Chosun further says that the report additionally takes note of the advancement of malicious code used to move stolen bitcoin to a server situated at Pyongyang’s Kim Il-sung University.

Serious sanctions against North Korea from the UN and other worldwide bodies have pushed the nation’s system towards digital currencies over time. This September, Vice revealed the nation is creating its own digital currency with properties like bitcoin to evade global sanctions.