- Major Cambodian payment firm Huione Pay received over $150,000 in crypto from North Korean hackers.
- The funds, traced back to Lazarus hackers, highlight how North Korea launders money in Southeast Asia.
OUR TAKE
This incident is a wake-up call for stricter regulations and more robust security measures in the cryptocurrency space. It’s a reminder that while digital currencies offer immense potential, they also pose significant risks that require vigilant oversight. We must demand better from our financial systems to ensure our trust and security are not compromised.
—Doris Du, BTW reporter
A Cambodian payment firm, Huione Pay, received over $150,000 in cryptocurrency from a digital wallet linked to North Korean hackers, Lazarus. This discovery sheds light on the intricate methods North Korea employs to launder funds in Southeast Asia.
What happened
Huione Pay, based in Phnom Penh, received the crypto between June 2023 and February this year, according to blockchain data reviewed by Reuters. The funds originated from an anonymous wallet used by Lazarus hackers, who stole from three crypto firms in June and July 2023. The FBI reported Lazarus stole around $160 million from Estonia-based Atomic Wallet, CoinsPaid, and Alphapo, a series of heists funding Pyongyang’s weapons programmes.
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Why it’s important
Cryptocurrency allows North Korea to circumvent international sanctions, facilitating payments for banned goods and services, as noted by the United Nations. This incident underscores the ongoing challenges in regulating and securing cryptocurrency transactions against sophisticated cyber threats.
A personal perspective
The revelation of Huione Pay’s inadvertent involvement in this scheme is not just a technical issue but a stark reminder of the broader implications of digital currencies. For ordinary people like us, who rely on financial institutions to protect our hard-earned money, this incident is deeply unsettling. It exposes vulnerabilities in the system that could potentially affect anyone, anywhere.
