North Korean Hackers Steal $170,000 In Ethereum

Chainalysis found a North Korean-linked address that received $170,000 in ETH stolen in Euler Finance's $200 million hack

Chainalysis, a company that analyzes blockchains, has found an address linked to previous hacks by North Korea that got about $170,000 worth of Ethereum that was stolen in the recent $200 million hack of Euler Finance.

Chainalysis identifies two primary on-chain entities involved in the hack

In 2023, the hack on Euler Finance is the biggest of its kind. The bad guys were able to pull off a flash loan attack because flash loans don’t require collateral. They used this to their advantage to borrow large amounts of money.

This meant that the prices of tokens could be changed. Chainalysis has found that the hack involved two main on-chain entities: a front-running MEV (Miner Extractable Value) bot and the hacker’s main personal wallet. Tornado Cash, a legal mixer, gave the person who broke into the system the money they needed to pay for gas and make the contracts that were used in the attack.

After that, they started a flash loan, which let them borrow $30 million in DAI from the Aave protocol. After the hack was done, the hacker moved some of the money back to Tornado Cash. Chainalysis made the link to North Korean hackers when it found that about $170,000 worth of Ethereum that was stolen in the Euler Finance hack was sent to an address that had been linked to hacking by North Korea in the past.

Cybercrime is becoming rapid in DeFi space

The fact that hackers from North Korea were involved in the Euler Finance hack shows how dangerous cybercrime is becoming in the DeFi space.

Coinxposure says that South Korea has given North Korea its first-ever crypto-related sanctions because of North Korea’s cryptocurrency crimes. Most of the $3.8 billion in crypto hacking losses in 2022 were caused by hackers from North Korea. Most of the losses were caused by decentralized finance protocols.

North Korean Hackers Stole $170,000 In Ethereum
North Korean Hackers Stole $170,000 In Ethereum