U.S. Sanctions North Korea’s $3 Billion Crypto Laundering Network Linked to Nuclear Program

The U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) has imposed sanctions on eight individuals and two entities connected to North Korea’s illicit cryptocurrency operations that allegedly laundered over $3 billion to finance its nuclear and missile programs. According to John K. Hurley, Secretary of the Treasury for Terrorism and Financial Intelligence, North Korean state-sponsored hackers continue to exploit crypto markets to fund weapons development, posing a direct threat to U.S. and global security.

Among those sanctioned are North Korean bankers Jang Kuk Chol and Ho Jong Son, accused of managing millions in crypto transactions, including $5.3 million tied to OFAC-designated First Credit Bank. Intelligence reports suggest these funds were linked to DPRK ransomware actors targeting U.S. organizations and IT worker income. Both were sanctioned under Executive Orders (E.O.) 13694 and 13810 for supporting North Korea’s cyber and revenue-generating operations. These sanctions freeze their assets and restrict global financial access.

Additionally, the U.S. sanctioned Ryujong Credit Bank for operating within North Korea’s financial services sector, alongside five representatives based in China and Russia. These individuals reportedly facilitated multimillion-dollar transactions for Pyongyang-linked banks such as Korea Daesong Bank and Koryo Commercial Bank. One banker, Ho Yong Chol, allegedly managed $85 million in transactions, while others, including Jong Sung Hyok and Choe Chun Pom, arranged financial transfers and diplomatic exchanges with Russian officials.

Over the past three years, North Korean hackers have stolen more than $3 billion in cryptocurrency through sophisticated cyberattacks, social engineering, and IT outsourcing schemes. DPRK IT workers, often using false identities, earn hundreds of millions annually by securing freelance contracts online and funneling profits to the regime. The U.S. vows to intensify sanctions to disrupt North Korea’s global crypto laundering network and its funding for weapons programs.