A Sudden Stir in Lazarus Group’s Bitcoin Holdings
After weeks of dormancy, the North Korean hacker group Lazarus Group has reportedly mobilized over $1 million worth of Bitcoin. Blockchain analysts from Arkham Intelligence observed two transfers of a total of 27.371 BTC from what appeared to be a cryptocurrency mixer, followed by a smaller transfer of 3.343 BTC to a previously inactive wallet.
The Cryptographic Movements: An Analysis
The Lazarus Group’s recent transaction involved moving the significant Bitcoin sum, valued at around $1.2 million, in a manner that suggests preparation for further undisclosed activities. This maneuver has brought the spotlight back onto the group’s substantial cryptocurrency holdings, which Arkham Intelligence estimates to be around $79 million after these transactions.
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The Lazarus Group just made its biggest transactions in over a month, withdrawing $1M in BTC from what appears to be a mixing service this morning, then sending $150K of that to an inactive address they’ve sent to before.
Track Lazarus on Arkham:https://t.co/C4FFFLUkL5 pic.twitter.com/quYYF3h7Dj
— Arkham (@ArkhamIntel) January 8, 2024
The Notorious History of Lazarus Group
Lazarus Group, believed to be state-sponsored by North Korea, has been implicated in about a third of all cryptocurrency hacks in 2023, amassing an estimated $700 million that year. The group is known for its sophisticated and innovative hacking techniques, including using fake job offers and posing as prominent venture capitalists to infiltrate target networks.
High-Profile Heists and International Repercussions
Among their most notorious exploits was the Ronin Bridge hack in March 2022, where they pilfered over $600 million in Ether and USD Coin from Axie Infinity, a play-to-earn game developed by Vietnamese studio Sky Mavis. This heist stands as the largest in crypto history, contributing to the group’s total theft of approximately $3 billion between 2017 and 2023.
U.S. Government’s Response to Lazarus Group’s Activities
The U.S. Treasury Department’s Office of Foreign Assets Control (OFAC) has taken significant actions in response to Lazarus Group’s activities. This includes sanctioning the crypto mixer Blender.io for its role in the Ronin Bridge incident, marking OFAC’s first such action against a crypto mixer. Furthermore, OFAC has sanctioned the Tornado Cash platform and various individuals linked to Lazarus Group.
The Lazarus Group’s recent Bitcoin movement serves as a reminder of the ongoing threats in the cryptocurrency space. It underscores the importance of heightened vigilance and robust security measures within the crypto community, particularly in the face of sophisticated state-sponsored hacking activities.
