Crypto companies are facing a serious threat: North Korean hackers are infiltrating the industry, posing a significant risk to both companies and investors.
How They’re Doing It
North Korean hackers are using clever tactics to bypass sanctions and get their hands on crypto. They’re creating fake identities and applying for jobs at crypto companies, often getting hired because they’re skilled developers.
The problem is bigger than you think. Several companies, including big names like Fantom, Injective, and Yearn Finance, have unknowingly hired North Korean developers.
It’s a widespread issue. Industry experts and blockchain researchers say this infiltration is happening more often than anyone realized.
The hackers are good at blending in. They initially do a great job to gain trust, but inconsistencies and red flags eventually start to appear.
Sometimes, they even use multiple fake identities to infiltrate the same company. This makes it even harder to detect them.
How They Attack
North Korean hackers don’t use flashy Hollywood-style hacks. Instead, they use social engineering, often by sending malicious links that compromise a company’s private keys.
It’s all about gaining trust and then exploiting it. Once they have access to the private keys, they can steal crypto assets.
The Consequences
Several crypto projects that hired North Korean developers have been hacked. This includes Sushi in 2021 and Delta Primes in September 2024.
The Munchables NFT gaming platform lost over $60 million in March. It turned out to be an inside job, with a developer turning hacker. It’s suspected that four of the developers were actually one person using multiple fake identities.
This is a serious threat to the entire crypto industry. Companies need to be vigilant and take steps to protect themselves from these sophisticated hackers. 
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