U.S. and South Korea Host Symposium to Combat DPRK Exploitation of Virtual Assets

On August 27, 2024, the U.S. Department of State and the Ministry of Foreign Affairs of the Republic of Korea (ROK) co-hosted a pivotal symposium in New York City titled "Protecting the Virtual Asset Industry from DPRK Exploitation and Disrupting DPRK Revenue Generation."

This event marks a significant step in addressing the Democratic People’s Republic of Korea’s (DPRK) use of virtual assets to fund its weapons of mass destruction (WMD) and ballistic missile programs, in violation of UN Security Council resolutions.

The DPRK has been actively engaged in moving substantial amounts of stolen cryptocurrency—estimated at around $3 billion between 2017 and 2023—through various virtual asset service providers (VASPs), including exchanges, mixers, and blockchain platforms. These activities are crucial for funding its illicit programs.

The symposium aimed to bolster global and private sector capabilities to counteract DPRK’s revenue generation and money laundering operations by promoting enhanced collaboration and information sharing. The event drew participants from nearly thirty countries, including government officials, experts from centralized and decentralized VASPs, blockchain analysis firms, and venture capitalists.

Discussions focused on current trends in DPRK’s virtual asset theft, the cyber threats posed by DPRK actors, and strategies for improved cooperation between industry and government to detect and prevent DPRK-related virtual asset thefts. The symposium underscored the importance of global efforts in securing the virtual asset industry against exploitation by malicious state actors.