DOJ Charges Four North Korean Nationals in $1 Million Crypto Theft from Blockchain Startup

Four North Korean nationals have been charged with wire fraud and money laundering after infiltrating a US blockchain startup and stealing nearly $1 million in cryptocurrency. The Department of Justice announced the charges Monday in the Northern District of Georgia.

The defendants – Kim Kwang Jin, Kang Tae Bok, Jong Pong Ju and Chang Nam Il – used fake and stolen identities to conceal their North Korean citizenship. They posed as remote IT developers to gain employment at crypto companies, exploiting smart contracts and privileged access to drain funds in February and March 2022.

The group initially operated from the United Arab Emirates in 2019, later securing jobs at an Atlanta-based blockchain startup and a Serbian crypto company. Stolen funds were laundered through mixers and exchanges using fraudulent Malaysian identification documents.

DOJ conducted raids across 16 states, seizing 29 financial accounts, 21 websites, and 200 computers from 'laptop farms.' The scheme aligns with North Korea's broader strategy to fund weapons programs through cryptocurrency theft.