US targets Chinese Firms on North Korea’s crypto laundering
The United States Treasury Department has sanctioned a Russian national, a North Korean trade official, and two companies for helping North Korea’s IT operatives launder stolen cryptocurrency to fund the country’s weapons program.
The designations, announced on August 27, target Russian national Vitaliy Sergeyevich Andreyev, North Korean official Kim Ung Sun, Chinese firm Shenyang Geumpungri Network Technology, and Korea Sinjin Trading Corporation. Treasury officials said the group facilitated money laundering and fraud schemes tied to Chinyong Information Technology, a North Korean company already under sanctions for its role in cybercrime operations.
According to the Treasury, Andreyev laundered about $600,000 worth of stolen cryptocurrency into U.S. dollars since December 2024, working with North Korean officials to route the funds to Chinyong. Kim Ung Sun, stationed in Russia as a trade representative, coordinated with Andreyev to facilitate the transfers.Shenyang Geumpungri, based in China, was identified as a front company for North Korean IT workers who used forged documents to infiltrate crypto and tech firms. The company allegedly generated over $1 million in profits for the regime. Korea Sinjin Trading Corporation, meanwhile, acted as a conduit between operatives and North Korea’s Ministry of People’s Armed Forces, channeling earnings directly to Pyongyang.
The designations expand earlier sanctions on Chinyong, first blacklisted in May 2023 for running overseas IT schemes tied to the North Korean military. U.S. officials say the company serves as a shadow employer for IT workers embedded abroad and plays a central role in the country’s cyber fraud operations.
North Korea has increasingly relied on crypto theft to finance its weapons programs. A United Nations Security Council report estimated that Pyongyang-linked groups drained more than $3.6 billion in cryptocurrency between 2017 and 2024. Recent U.S. actions have targeted individuals and networks tied to the country’s cyber units, but investigators say hundreds of operatives continue to quietly infiltrate the global crypto industry.
According to the Treasury, Andreyev laundered about $600,000 worth of stolen cryptocurrency into U.S. dollars since December 2024, working with North Korean officials to route the funds to Chinyong. Kim Ung Sun, stationed in Russia as a trade representative, coordinated with Andreyev to facilitate the transfers.Shenyang Geumpungri, based in China, was identified as a front company for North Korean IT workers who used forged documents to infiltrate crypto and tech firms. The company allegedly generated over $1 million in profits for the regime. Korea Sinjin Trading Corporation, meanwhile, acted as a conduit between operatives and North Korea’s Ministry of People’s Armed Forces, channeling earnings directly to Pyongyang.
The designations expand earlier sanctions on Chinyong, first blacklisted in May 2023 for running overseas IT schemes tied to the North Korean military. U.S. officials say the company serves as a shadow employer for IT workers embedded abroad and plays a central role in the country’s cyber fraud operations.
North Korea has increasingly relied on crypto theft to finance its weapons programs. A United Nations Security Council report estimated that Pyongyang-linked groups drained more than $3.6 billion in cryptocurrency between 2017 and 2024. Recent U.S. actions have targeted individuals and networks tied to the country’s cyber units, but investigators say hundreds of operatives continue to quietly infiltrate the global crypto industry.
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Has been exploring the enigmas of the crypto industry since 2017, transforming them into accessible narratives. Relies on dark chocolate and nuts as a secret source of energy and inspiration.
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