South Korea and U.S. Collaborate to Strengthen Crypto Security

South Korea and the United States are teaming up to tackle the growing threat of cryptocurrency theft through a groundbreaking research collaboration.

This is set to focus on enhancing security measures to protect digital assets and track stolen funds more effectively.

As reported by Yonhap News Agency, both nations have formalized an agreement to create advanced tools aimed at thwarting cyberattacks on crypto systems and uncovering the methods criminals use to launder stolen funds. The partnership is also expected to delve into how ransomware and other illegal tactics are employed to convert traditional financial assets into cryptocurrency.

The collaboration comes as North Korea emerges as a key player in global crypto heists, prompting the United States to seek South Korea’s expertise. In 2022, blockchain analysis firm Chainalysis highlighted that North Korean-linked hackers, such as the infamous Lazarus Group, were responsible for a significant share of decentralized finance (DeFi) protocol breaches, amassing nearly $1 billion in stolen assets.

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Adding to the concern, North Korea has reportedly utilized crypto-mixing platforms like Tornado Cash to obscure the origins of its stolen funds. Experts believe these illicit gains are fueling the country’s missile and nuclear programs, making the development of countermeasures a top priority for both South Korea and the United States.

Kosta Gushterov

Kosta has been working in the crypto industry for over 4 years. He strives to present different perspectives on a given topic and enjoys the sector for its transparency and dynamism. In his work, he focuses on balanced coverage of events and developments in the crypto space, providing information to his readers from a neutral perspective.