Cryptocurrency Industry's Espionage War Escalates: 40% of Job Applicants Allegedly North Korean Agents?
Original Title: North Korean crypto infiltration is much worse than everyone thinks, says SEAL member
Original Author: Pedro Solimano, DL News
Original Translation: Deep Tide TechFlow
North Korean operatives have already infiltrated 15%-20% of crypto companies.
According to a SEAL member, 30%-40% of job applications in the crypto industry may originate from North Korean operatives.
The crypto industry has been criticized for having "the worst operational security (opsec) in the entire computer industry," said Pablo Sabbatella.
The extent of North Korea's infiltration into the crypto industry is far beyond people's awareness.
Pablo Sabbatella, founder of the Web3 audit company Opsek and current Security Alliance member, dropped a bombshell at the Devconnect conference in Buenos Aires: North Korean operatives may have infiltrated up to 20% of crypto companies.
"The situation in North Korea is much worse than everyone imagines," Sabbatella told DL News in an interview. He even shockingly pointed out that 30%-40% of job applications in the crypto industry may come from North Korean operatives trying to infiltrate relevant organizations in this way.
If these estimates are true, their potential for disruption would be incredibly high.
More importantly, North Korea's infiltration is not just about stealing funds through hacking techniques, although they have already stolen billions through sophisticated malware and social engineering tactics. The bigger issue is that these operatives will be hired by legitimate companies, gain system permissions, and manipulate the infrastructure supporting major crypto companies.
According to a report from the U.S. Treasury Department in November of last year, North Korean hackers have stolen over $3 billion in cryptocurrency over the past three years. These funds were subsequently used to support Pyongyang's nuclear weapons program.
How Do North Korean Operatives Infiltrate the Crypto Industry?
North Korean workers typically do not directly apply for positions because international sanctions prevent them from participating in the recruitment process under their true identities.
On the contrary, they will seek uninformed global remote workers to act as "agents." Some of these agents have even transitioned into recruiters, helping North Korean operatives use stolen identities to hire more overseas collaborators.
According to a recent report by Security Alliance, these recruiters reach out to individuals worldwide through freelance platforms (such as Upwork and Freelancer), with a focus mainly on Ukraine, the Philippines, and other developing countries.
Their "transaction" is quite simple: they provide verified account credentials or allow North Korean operatives to remotely use your identity. In return, collaborators can receive 20% of the income, while the North Korean operatives retain 80%.
Sabbatella stated that many North Korean hackers target the United States.
"Their approach is to find Americans to be their 'front end,'" Sabbatella explained, "They will pretend to be from China, unable to speak English, needing someone to help with interviews."
They will then infect the "front end" individual's computer with malware to obtain a US IP address, allowing them to access more internet resources than when in North Korea.
Once hired, these hackers are usually not dismissed because their performance satisfies the company.
"They are highly efficient, work long hours, and never complain," Sabbatella said in an interview with DL News.
Sabbatella provided a simple test method: "Ask them if they think Kim Jong Un is weird or has any flaws." He said, "They are not allowed to say anything negative."
Operational Security Vulnerabilities
However, North Korea's success does not solely rely on sophisticated social engineering.
Cryptocurrency companies—and users—have made it all easier.
"The cryptocurrency industry may be the worst in operational security (opsec) in the entire computer industry," Sabbatella said. He criticized that the founders of cryptocurrency companies are "fully doxxed, perform poorly in protecting private keys, and are easily susceptible to social engineering."
Operational Security (OPSEC) is a systematic process used to identify and protect key information from adversary threats.
The lack of operational security can lead to a high-risk environment. "Almost everyone's computer will be infected with malware at least once in their lifetime," Sabbatella said.
Update Statement
Update: This article has been updated to reflect Sabbatella's clarification that North Korea does not control 30%-40% of crypto applications; this percentage actually refers to the proportion of North Korean operatives in crypto industry job applications.
You may also like

Bitcoin's Big Brother Scythe, a Nasdaq Heist Chronicle

ARK Invest: Stablecoins are Constructing the Next-Generation Monetary System

President Trump Asserts Imminent Passing of Crypto Market Structure Bill
Key Takeaways Presidential Confirmation: President Trump states the major crypto market structure bill is on the verge of…

Germany Central Bank Head Advocates for European Crypto Stablecoins Under EU MiCA Framework
Key Takeaways Joachim Nagel, head of the Germany Bundesbank, is advocating for the adoption of euro-based crypto stablecoins…

Polygon Surpasses Ethereum in Daily Fees as Polymarket Bets Rocket
Key Takeaways Polygon has outpaced Ethereum in daily transaction fees, a historic shift driven by activity on Polymarket.…

Bitcoin Price Prediction: BTC Short Squeeze Alert – Is a Significant Rebound on the Horizon?
Key Takeaways Recent data indicates Bitcoin shorts have escalated to unprecedented levels reminiscent of a major market low…

Google’s Gemini AI Predicts the Price of XRP, Solana, and Bitcoin by the End of 2026
Key Takeaways XRP’s Potential: Google’s Gemini AI forecasts XRP could reach $10 by 2026, leveraging Ripple’s payment solutions…

Top Analyst Warns Bitcoin Price Could Plummet to $10,000 Amid Deepening Bear Market
Key Takeaways Bitcoin’s value could potentially drop to $10,000 as part of an imploding bubble, suggests a renowned…

Best Crypto to Buy Now February 10 – XRP, Solana, Dogecoin
Key Takeaways XRP is poised for long-term growth with its recent strategic expansions in institutional-grade payments and tokenization.…

Kyle Samani Criticizes Hyperliquid in Explosive Post-Departure Market Commentary
Key Takeaways: Kyle Samani, after leaving Multicoin Capital, criticized Hyperliquid, a decentralized exchange, labeling it as a systemic…

XRP Price Prediction: A 50M Token Sell-Off Just Shook the Market — Is More Loss Imminent?
Key Takeaways Over 50 million XRP hit the market within a span of less than 12 hours, leading…

Strategy Plans to Equitize Convertible Debt Over 3–6 Years: What It Means for BTC
Key Takeaways Strategy, led by Michael Saylor, is equitizing $6 billion in convertible debt as a long-term strategy…

BlockFills Freezes Withdrawals as Bitcoin Declines, Heightening Counterparty Risk Concerns
Key Takeaways BlockFills, an institutional trading firm, has stopped client withdrawals amid rising market volatility and Bitcoin price…

Leading AI Claude Predicts the Price of XRP, Cardano, and Ethereum by the End of 2026
Key Takeaways Claude AI projects substantial growth for XRP, Cardano, and Ethereum by the end of 2026, with…

Crypto Price Forecast for 16 February – XRP, Ethereum, Cardano
Key Takeaways Technical trends and recent developments suggest potential growth for XRP, Ethereum, and Cardano. XRP is targeting…

Bitcoin Price Prediction: Alarming New Research Warns Millions in BTC at Risk of ‘Quantum Freeze’ – Are You Protected?
Key Takeaways Recent market movements have sparked concerns over a potential bear market for Bitcoin, marked by significant…

XRP Price Forecast: Can XRP Truly Surpass Bitcoin and Ethereum? Analyst Argues the Contest Has Already Begun
Key Takeaways XRP has maintained significant support around the $1.40 level despite a 12% decline over the past…

Best Crypto to Purchase Now February 6 – XRP, Solana, Bitcoin
Key Takeaways XRP’s Strength: Ripple’s focus on challenging traditional systems like SWIFT is driving XRP towards a potential…
Bitcoin's Big Brother Scythe, a Nasdaq Heist Chronicle
ARK Invest: Stablecoins are Constructing the Next-Generation Monetary System
President Trump Asserts Imminent Passing of Crypto Market Structure Bill
Key Takeaways Presidential Confirmation: President Trump states the major crypto market structure bill is on the verge of…
Germany Central Bank Head Advocates for European Crypto Stablecoins Under EU MiCA Framework
Key Takeaways Joachim Nagel, head of the Germany Bundesbank, is advocating for the adoption of euro-based crypto stablecoins…
Polygon Surpasses Ethereum in Daily Fees as Polymarket Bets Rocket
Key Takeaways Polygon has outpaced Ethereum in daily transaction fees, a historic shift driven by activity on Polymarket.…
Bitcoin Price Prediction: BTC Short Squeeze Alert – Is a Significant Rebound on the Horizon?
Key Takeaways Recent data indicates Bitcoin shorts have escalated to unprecedented levels reminiscent of a major market low…