\nNorth Korean hackers linked to Atomic Wallet crypto hack<\/br>
\n2023-06-08 21:50:18<\/br><\/p>\n
![](\"https:\/\/i0.wp.com\/techcrunch.com\/wp-content\/uploads\/2019\/05\/cryptocurrency.jpg?w=1140&ssl=1\")
\n\t\t<\/div>\n<\/p><\/div>\nCrypto researchers say North Korean state-backed hackers are likely behind a recent hack on Atomic Wallet customers, resulting in millions of dollars in estimated losses.<\/p>\n
Estonia-based Atomic Wallet is a non-custodial decentralized wallet, which means users are responsible for the assets they store. The company, which supports over 500 coins and tokens, including Bitcoin and Ethereum<\/a>, claims more than five million users of its software worldwide.<\/p>\n Atomic confirmed on June 3 that it had received reports of compromised wallets and had begun investigating the issue. An update posted on June 5 said that less than 1% of its monthly users \u2014 thought to be around 50,000 individuals \u2014\u00a0appeared to be affected by the hack. According to the self-styled on-chain sleuth @ZachXBT<\/a>, hackers stole an estimated $35 million in various cryptocurrencies, with just one victim losing almost 10% of the stolen total.<\/p>\n For its part, Atomic hasn\u2019t said how many users are affected or how much money might have been stolen, nor has it said who might be behind the attack. Atomic did not respond to TechCrunch\u2019s questions.<\/p>\n We have received reports of wallets being compromised. We are doing all we can to investigate and analyse the situation. As we have more information, we will share it accordingly.<\/p>\n For any questions and concerns, contact support@atomicwallet.io<\/p>\n \u2014 Atomic \u2013 Crypto Wallet (@AtomicWallet) June 3, 2023<\/a><\/p>\n<\/blockquote>\n<\/div>\n However, blockchain analysis firm Elliptic said this week<\/a> that it assesses with a \u201chigh level of confidence\u201d that the North Korea-backed hackers known as the Lazarus Group are behind the Atomic Wallet hacks. Its analysis of the hack said the laundering of the stolen crypto assets followed \u201ca series of steps that exactly match those employed to launder the proceeds of past hacks perpetrated by Lazarus Group.\u201d<\/p>\n Elliptic also discovered that the hackers are laundering the stolen assets through Sinbad, a crypto mixer that allows owners to conceal the source of their crypto funds. Elliptic said Sinbad, believed to be a rebrand of the sanctioned Blender.io mixer, was previously used to launder the proceeds of past hacks perpetrated by the Lazarus Group.<\/p>\n In May 2022, the U.S. Treasury sanctioned Blender.io<\/a>, warning that the service was being used by North Korea to \u201csupport its malicious cyber activities and money-laundering of stolen virtual currency.\u201d Treasury officials said at the time that the Lazarus Group used the mixer to launder more than $20 million worth of the $625 million in cryptocurrency it stole from the Ronin Network,<\/a> an Ethereum-based sidechain made for the popular play-to-earn game Axie Infinity.<\/p>\n @ZachXBT<\/a> noted that the laundering patterns seen in the Atomic Wallet hacks are similar to those observed last year in the Ronin Network hack, and the theft of $100 million in cryptocurrency from Harmony Horizon Bridge<\/a>.<\/p>\n It\u2019s not yet known how Atomic was compromised, and it\u2019s\u00a0unclear if affected users will be compensated.<\/p>\n Atomic said in its latest update<\/a> that the company \u201cis committed to helping as many victims of the recent exploit as possible\u201d and has engaged third parties to help \u201ctrace stolen funds and liaise with exchanges and authorities.\u201d<\/p>\n\n