Hello friends,
Today I came across some very important news that I want to share with you all. This news is about how the United States is fighting back against crypto crimes linked to North Korea.

On August 27, the U.S. Treasury Department announced new sanctions on two people and two companies. They are accused of stealing cryptocurrency from American businesses and then using that money to support North Korea’s weapons program.

The U.S. says these scammers were part of a large network of North Korean IT workers who use fake identities to get jobs in foreign companies. Once inside, they steal funds and secretly send the money back home to Pyongyang.

Who Got Sanctioned?

According to the Treasury:
Vitaliy Sergeyevich Andreyev, a Russian national, acted as a money launderer. He converted around $600,000 worth of stolen crypto into U.S. dollars since late 2023.

Kim Ung Sun, a North Korean government official based in Russia, worked alongside Andreyev and helped move the stolen funds.

Shenyang Geumpungri Network Technology Co., Ltd., a Chinese company, was used as a cover for North Korean IT workers. Reports say it earned over $1 million in profit for the regime.

Korea Sinjin Trading Corporation, which has direct ties to the North Korean military, helped coordinate the scam network and also benefited financially.

All these funds were eventually linked to Chinyong Information Technology Company, a North Korean firm that was already blacklisted in May 2023 for its role in cyber fraud and military ties.

How US sanctions target entities aiding North Korean IT workers

U.S. officials said that Andreyev and his partners were helping North Korea bypass existing sanctions, making it easier for them to keep funding their weapons of mass destruction.

The Chinese company, Shenyang, also played a key role by embedding North Korean operatives into foreign tech and crypto firms using fake documents and credentials. This shows how deeply these groups are trying to infiltrate the global industry.

This is not the first time such actions have been taken. In fact, the U.N. reported that between 2017 and 2024, North Korea-linked hackers stole more than $3.6 billion in cryptocurrency.

The U.S. has been trying to stop this through sanctions, arrests, and even seizing stolen assets. Just last month, another North Korean national was sanctioned for helping hackers apply for remote jobs using stolen U.S. identities.

But despite these actions, experts say hundreds of North Korean IT operatives are still active in the crypto world, quietly working under fake names and draining money wherever they can.

The Bigger Picture

This news is a big reminder for everyone in the crypto space: we need to stay alert. These scams are not just about money — they are linked to global security issues. For investors, businesses, and even regular users like us, awareness is the first line of defense.

Let’s see how these new sanctions affect North Korea’s cyber operations in the coming months.