The United States Cracks Down on North Korea's Cryptocurrency Assets Supporting Nuclear Arms Development
The U.S. Treasury has intensified its efforts to dismantle North Korea’s illegal financial operations, imposing sanctions on eight people and two organizations involved in laundering more than $2 billion in cryptocurrency acquired through cyberattacks and IT worker schemes. The Office of Foreign Assets Control (OFAC) announced the measures on November 4, targeting prominent individuals and institutions that help the regime finance its nuclear and missile programs in defiance of international restrictions, according to
The sanctions specifically name North Korean bankers Jang Kuk Chol and Ho Jong Son, who oversaw $5.3 million in digital assets for the state-run First Credit Bank, an entity previously blacklisted for its ties to ransomware operations. Other sanctioned parties include the Korea Mangyongdae Computer Technology Company and Ryujong Credit Bank, both of which managed IT worker teams in China and offered financial services to circumvent sanctions, as reported by
Officials from the Treasury highlighted that North Korea’s cyber theft activities—unparalleled by any other country—have exceeded $3 billion over the past three years, with blockchain analytics firm Elliptic estimating $2 billion stolen in 2025 alone. The regime employs advanced hacking tools powered by AI, malicious software, and social engineering tactics to compromise crypto platforms and businesses. John K. Hurley, Under Secretary for Terrorism and Financial Intelligence, remarked that these actions "pose a direct threat to the security of the United States and the world," as reported by
The OFAC sanctions also draw attention to North Korean IT professionals who use false identities to penetrate international financial systems. In 2022, the Treasury cautioned American firms about employing such workers, who often disguise themselves as remote staff to gain access to financial infrastructure. The latest round of sanctions also targets representatives of North Korean banks operating in China and Russia, highlighting the global scope of the regime’s evasion tactics, according to
This move is part of a wider initiative to disrupt North Korea’s methods of bypassing sanctions, including a recent joint report outlining how cybercrime and IT contracting support its weapons development. By targeting those who facilitate these financial flows, the Treasury seeks to cut off North Korea’s access to hard currency derived from stolen crypto, a vital resource for its military objectives.
