North Korea Surpasses El Salvador and Bhutan as Major Bitcoin Holder
North Korea has become the third-largest holder of Bitcoin globally, possessing approximately 13,518 BTC valued at $1.12 billion, primarily due to a hack by the Lazarus Group on the Bybit exchange. This increase surpasses holdings from Bhutan and El Salvador. The United States remains the largest holder with 198,109 BTC.
As the United States prepares to unveil its Strategic Bitcoin Reserve, North Korea has emerged as a formidable entity in the cryptocurrency realm. The Democratic People’s Republic of Korea now ranks as the third-largest nation-state holder of Bitcoin, possessing approximately 13,518 coins, valued at an estimated $1.12 billion, according to blockchain analytics firm Arkham Intelligence.
North Korea’s Bitcoin holdings surpass those of Bhutan and El Salvador, which hold 10,635 BTC and 6,118 BTC, respectively. Bhutan’s accumulation of Bitcoin primarily stems from its domestic mining initiatives that commenced in 2019, leveraging its rich hydroelectric power resources. Conversely, El Salvador has actively purchased Bitcoin since adopting it as legal tender in 2021.
The significant increase in North Korea’s Bitcoin reserve is attributed to a high-profile hack perpetrated by the state-sponsored Lazarus Group on the Bybit exchange on February 21. This remarkable breach is noted as the largest heist in the history of digital asset exchanges, with Lazarus allegedly siphoning off $1.5 billion after compromising Bybit’s cold wallet. The group then converted a portion of the stolen Ethereum into Bitcoin using the decentralized exchange THORChain.
Prior to the Bybit incident, Lazarus conducted multiple cyber attacks on various cryptocurrency firms globally, including a $308 million theft from Japan’s DMM Bitcoin last year and a significant $625 million theft from the Ronin Network in 2022. Additionally, Lazarus reportedly retains around $30 million in other cryptocurrencies, including Ethereum, BNB, and USDT.
Despite North Korea’s substantial Bitcoin holdings, the United States remains the leading Bitcoin holder globally, with a considerable stockpile of 198,109 BTC, valued at $17 billion. The United Kingdom stands second, possessing 61,245 BTC, which is worth over $4.05 billion, as reported by Arkham.
In conclusion, North Korea’s ascension to one of the top holders of Bitcoin highlights the shifting dynamics in global cryptocurrency ownership, propelled largely by illicit activities. Following its successful hack on the Bybit exchange, North Korea has eclipsed both Bhutan and El Salvador. However, the United States and the United Kingdom continue to dominate the Bitcoin landscape with their substantial reserves. This development raises concerns regarding the implications of state-sponsored cybercrimes in the cryptocurrency sector.
Original Source: zycrypto.com
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