US, South Korea Forum Talks Countering North Korean Use of Virtual Assets

The U.S. and South Korea this week hosted a symposium for government officials, finance industry representatives, investment firms and others about how to shield the virtual asset industry from being exploited by North Korea, the State Department said. The symposium, held in New York on Aug. 27, convened participants from more than 40 countries to discuss “updates on current trends” in North Korean virtual asset thefts and laundering, information on North Korean cyber threats, and “guidance on how industry and government can better work together.”

North Korean cyber actors stole about $3 billion in virtual assets from 2017 to 2023, the State Department said, citing a report from the U.N.’s North Korea Sanctions Committee Panel of Experts. The U.S. and South Korea “convened this event to strengthen the capabilities of governments across the globe and the private sector to disrupt [North Korean] revenue generation and laundering activities involving virtual assets through enhanced collaboration and information sharing.”

The U.S. has issued several rounds of sanctions against people and entities for their ties to North Korean financing in the virtual currency industry (see 2304240024, 2208100036 and 2208080031).