The FBI accused North Korea of masterminding the largest crypto heist in history. On Wednesday, February 27, 2025, the bureau issued a statement to the effect that Pyongyang had made off with a staggering $1.5 billion in digital currencies from Dubai-based crypto exchange Bybit.
Bybit, a top exchange globally, last week reported that hackers took advantage of its security while it was processing a transaction. The hackers were able to route 400,000 Ethereum to an unspecified destination. The FBI has since revealed the hackers as being the Lazarus Group or TraderTraitor, a well-known North Korean hacking syndicate.
In a public statement, the FBI explained the short-term activities of the group to launder the stolen money. ““(North Korea) was responsible for the theft of approximately $1.5 billion in virtual assets from cryptocurrency exchange, Bybit,” the agency explained. The money will be laundered and ultimately converted to fiat currency.
This is not the first time the Lazarus Group has been making news. The group made news worldwide in 2014 by hacking into Sony Pictures as an act of retaliation for “The Interview,” a satirical movie that ridiculed North Korean dictator Kim Jong Un. It also carried out the 2022 $620 million Ronin Network hack and a $300 million DMM Bitcoin Japan-based hack in December 2024.
North Korea’s cyber warfare capabilities have been a source of concern for international security experts for years. The nation has a 6,000-strong cyber-warfare unit called Bureau 121, which frequently operates from overseas, a U.S. military report says. Much of this activity is said to be controlled by the Reconnaissance General Bureau, Pyongyang’s main intelligence agency.
The illicit funds are said to be funding North Korea’s nuclear weapons program. A United Nations sanctions evaders panel estimated that the regime has stolen more than $3 billion in cryptocurrency since 2017. North Korea has been described as “the world’s most prolific cyber-thief” by cyber experts.
This latest attack highlights the escalating menace of state-sponsored cyber-hacking in cyberspace. As cryptocurrency forms an increasingly central component of the global economy, digital asset security is rapidly becoming a losing struggle. For Pyongyang, it’s yet another daring step in its cyber-war campaign, and the rest of the world is again left playing catch-up.
The FBI has warned cryptocurrency exchanges and users to increase security, noting that Pyongyang’s digital currency pursuit is far from over.
