U.S. DOJ Targets North Korea's Crypto Operations, Seizes Assets
U.S. DOJ Intensifies Crackdown on North Korea's Crypto Activities
The U.S. Department of Justice has achieved significant legal victories in its crackdown on North Korea's illicit cryptocurrency schemes. Several individuals involved in helping North Korea exploit U.S. jobs and identities for financial gain have been convicted, as detailed in a recent DOJ statement. The DOJ's actions have also led to the seizure of substantial crypto assets tied to cyber crimes targeting digital platforms.
Convictions and Asset Seizures
The DOJ announced five guilty pleas linked to individuals assisting North Korean IT workers in securing U.S. jobs through fraudulent means. These workers used stolen U.S. identities and obscured their origins to earn salaries from American companies. The FBI continues to investigate North Korea's strategies to bypass U.S. sanctions, a campaign that funds its regime and weapons initiatives, according to Assistant Director Roman Rozhavsky of the FBI's counterintelligence division. He emphasized the need for companies to enhance their vetting of remote employees.
In addition, authorities have confiscated $15 million in Tether's USDT from North Korean sources, associated with cyber thefts by the group known as Advanced Persistent Threat 38, allegedly linked to North Korea's military. Read More: North Korean Hackers Were Behind Crypto's Largest 'Theft of All Time'
Broader Efforts Against International Scams
Earlier this week, the DOJ and other agencies introduced a Scam Center Strike Force targeting "pig-butchering" scams, predominantly operated by Chinese criminal networks in Southeast Asia. This initiative has led to the recovery of $80 million in stolen funds, with compensation to be provided to victims from these assets.
The potential allocation of seized crypto assets to President Donald Trump's proposed reserves remains uncertain. His administration has suggested creating a bitcoin strategic reserve and a separate digital asset reserve, but formal implementation may require legislative approval. Read More: No U.S. Bitcoin Reserve Plans as White House Touts Crypto Report