US Targets Sinbad for Helping North Korean Crypto Laundering

“North Korean-Linked Hacking Group Lazarus Allegedly Laundered Millions in Cryptocurrency”

The U.S. government has sanctioned Sinbad, accusing it of aiding the laundering of virtual assets (cryptocurrency) by the North Korean-supported hacking group Lazarus.

According to Voice of America (VOA), on the 29th (local time), the U.S. Department of the Treasury announced new sanctions related to North Korea’s cyber activities and added Sinbad. This mixer service provider makes tracking virtual assets difficult, as well as the list of specially designated sanctions by the Office of Foreign Assets Control.

As a result, the sanctions will freeze Sinbad’s assets within the U.S. and prohibit transactions with Americans.

A mixer is a program that fragments cryptocurrency to obscure the money trail. Repeating this process challenges tracking virtual asset transactions, including tracking funds, their usage, and whether they have been cashed out.

In a release, the U.S. Department of the Treasury stated that Sinbad had processed virtual assets stolen by Lazarus, an entity associated with North Korea, amounting to millions of dollars.

The U.S. sanctions appear to be intended to intensify pressure on North Korea’s nuclear and missile development. North Korea launched a military reconnaissance satellite on the 21st and announced plans to operate it entirely starting next month.

The U.S. views virtual assets as a funding source for North Korea’s nuclear weapons development and aims to block it. According to the U.S. State Department, the theft of virtual assets plays a crucial role in raising funds for development.

By. Byeon Hyo Sun