DPRK Facilitators Charged and Sanctioned, Shedding Light on North Korean Crypto Money Laundering Processes

2023-04-24 Chainalysis

https://blog.chainalysis.com/reports/ofac-dprk-north-korea-sanctions-april-2023/

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OFAC sanctioned Wu Huihui, Cheng Hung Man, and Sim Hyon Sop for facilitating DPRK cryptocurrency money laundering, and DOJ charged Sim in connection with money-laundering conspiracies. Chainalysis says Wu converted millions of dollars in stolen cryptocurrency into fiat for DPRK actors working with Lazarus Group, while Cheng supported Wu through shell companies and Sim helped route funds linked to North Korean IT-worker earnings and KKBC activity. The source highlights a DPRK laundering pattern in which stolen funds move through mixers such as Tornado Cash or Sinbad, decentralized exchanges, OTC intermediaries, and finally mainstream exchanges for cash-out.

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