Data reveals North Korea breaks record for highest number of cryptocurrency hacks in 2023.
North Korean hackers have managed to steal approximately $430 million from decentralized finance (defi) and have also targeted centralized services, exchanges, and wallet providers in 2023, according to blockchain forensic firm Chainalysis. The firm’s latest report reveals that hacking groups Kimsuky and Lazarus Group successfully carried out 20 attacks on various platforms, resulting in the theft of around $1 billion worth of cryptocurrency. This represents a 41.7% decrease in stolen funds compared to 2022.
The majority of the stolen funds, totaling $428.8 million, came from defi protocols, while centralized services suffered losses of $150 million. Exchanges were hit the hardest, with a total of $330.9 million stolen, followed by wallet providers with losses amounting to $127 million.
Overall, 2023 saw a significant 54.3% decrease in stolen funds, with a total of $1.7 billion stolen, compared to $3.1 billion in 2022. Analysts attribute this decline to a decrease in defi hacking, which had previously fueled the substantial increases in crypto theft seen in 2021 and 2022. In 2023, hackers only managed to steal $1.1 billion from smart contracts, representing a noticeable 63.7% year-over-year decrease in stolen funds from decentralized finance.
In addition to stolen funds, the overall value received through illicit crypto activities also saw a decline in 2023. Illicit crypto operations received a total of $24.2 billion, reflecting a nearly 39% decrease compared to the losses of $39.6 billion in 2022.
For more information, read our article on North Korean hackers turning to Russia to launder crypto.
