Kevin Helms
A student of Austrian economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects and the intersection of economics and cryptography.
Binance and Huobi Freeze $1.4M in Crypto Tied to North Korea – Featured Bitcoin News
Crypto exchanges Binance and Huobi have frozen roughly $1.4 million worth of cryptocurrencies linked to North Korea, according to blockchain analytics firm Elliptic. The firm noted that the stolen funds, which were dormant until recently, dates from June 2022 hacked by Harmony’s Horizon Bridge.
North Korea-linked Crypto Frozen by Binance and Huobi
Blockchain analytics firm Elliptic said on Tuesday it has partnered with cryptocurrency exchanges Binance and Huobi “to freeze the proceeds of Lazarus Group’s hacking.” Elliptic wrote:
Crypto exchanges Binance and Huobi today froze accounts containing approximately $1.4 million in crypto assets stemming from the June 2022 hack of Harmony’s Horizon Bridge.
“The Horizon cross-chain bridge was attacked on June 24, 2022, resulting in the loss of $99.6 million in crypto assets. These funds were then laundered through the now-sanctioned Tornado Cash,” the blockchain analytics firm said. Ethereum mixer Tornado Cash was banned last August by the US Treasury Department’s Office of Foreign Assets Control (OFAC).
The Horizon Bridge hacker sent over 98% of $100 million in stolen crypto assets into the Tornado Cash mixer, Elliptic said last June. The stolen cryptocurrencies included ether (ETH), tether (USDT), wrapped bitcoin (WBTC) and Binance coin (BNB), the firm noted, adding that the hacker immediately used Uniswap to convert the Ethereum-based assets into 85,837 ETH .
Elliptical investigators traced the funds’ full trail through the mixer, and attributed the hack to the Lazarus Group, a North Korean-controlled cybercrime organization. The Federal Bureau of Investigation (FBI) later confirmed Lazarus Group’s involvement in the hack. Elliptical continued:
The stolen funds remained dormant until recently, when our investigators began to see them routed through complex chains of transactions to exchanges.
Elliptic CEO Simone Maini commented:
Today, money laundering was detected and stolen funds linked to North Korea were frozen, in real time.
“As an industry, we have the power and responsibility to prevent digital assets from becoming a haven for money launderers and sanctions evaders, and ensure they are a force for good,” added the CEO.
What do you think about Binance and Huobi freezing crypto assets linked to North Korea? Let us know in the comments section below.
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