Cyberthefts Help North Korea Offset Revenue Lost to Sanctions | Voice of America

North Korea made up nearly $2 billion of revenue it lost from sanctions by conducting cyberthefts from financial institutions and cryptocurrency exchanges, an expert said. 

The government’s engagement in illicit cyberoperations such as thefts has been “undercutting the effectiveness of sanctions,” said Troy Stangarone, senior director of the Korea Economic Institute. 

North Korea lost approximately $1.5 billion to $2 billion annually from 2018 to 2019 because of sanctions, said Stangarone, who estimated the figures by comparing export revenues, mostly from China, before and after major export sanctions were imposed on North Korea in 2016. 

Beginning that year, the U.N. Security Council passed several resolutions banning North Korea from exporting commodities, such as coal, textiles and seafood, that became key sources of income supporting its nuclear weapons program.