The US Treasury Department has shut down a network in the UAE that North Korea used to launder millions of dollars through cryptocurrency. The isolated regime has been linked to various cryptocurrency-related crimes.
Sanctions and Targets
On Tuesday, the US imposed sanctions on two individuals and a UAE-based company. These individuals and the company are accused of being responsible for laundering millions of dollars on behalf of the North Korean government through IT workers and cybercrimes.
According to the US Treasury Department, the sanctioned individuals utilized a company named Green Alpine Trading LLC to launder North Korea’s money and convert cryptocurrency into cash. This front company was used to fund Pyongyang’s operations, including its weapons and missile programs.
Global Cooperation and Cryptocurrency Abuse
Previously, such funding was facilitated through dark web operations and other illegal markets. The US government emphasized its commitment to dismantling criminal networks that exploit complex schemes to sustain North Korea’s military advancements.
“Our commitment to dismantling criminal networks continues.” – US Treasury Department.
The sanctions imposed by the US Treasury also target Chinese nationals Lu Huaying and Zhang Jian, who had collaborated with Green Alpine Trading since 2022. These sanctions freeze their US assets and prohibit Americans from engaging in transactions with them.
North Korea aims to finance its nuclear weapons development by targeting the cryptocurrency industry. Converting crime-related cryptocurrencies into fiat currency is challenging, and companies like Green Alpine facilitate this process.
This development is seen as part of the joint effort between the US Treasury and international partners like the UAE to combat cryptocurrency abuse. The UAE embassy in Washington has not made an immediate statement regarding the matter.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
