Is North Korea Pushing For Bitcoin Reserve? CZ Sparks Speculations

In a recent development, North Korea has flipped Bhutan and El Salvador in crypto holdings, becoming the fourth largest Bitcoin holder. Reflecting on the development, Binance founder Changpeng Zhao (CZ) sparked speculations about North Korea’s Bitcoin reserve plans.

Significantly, North Korea’s ascend in Bitcoin holdings follows the notorious Lazarus Group’s Bybit hack. Though the hackers stole $1.4 billion in ETH, the latest reports reveal that the group converted most of the stolen funds to BTC.

CZ Teases North Korea’s Bitcoin Reserve Plans

As North Korea has become the fourth largest country in terms of Bitcoin holdings, Binance founder Changpeng Zhao hints at the country’s potential Bitcoin reserve adoption. In a playful manner, CZ shared an X post, commenting, “Different ways to build a strategic crypto reserve.”

Notably, the addition of an emoji of hysterical laughter in his post could convey his extreme surprise at the development. He humorously suggests that North Korea’s BTC accumulation is an unconventional yet effective way to build a strategic Bitcoin reserve. This could also imply the irony that a country like North Korea, often viewed as isolated, is actively building a significant Bitcoin reserve.

North Korea Accumulates Bitcoin: What Does It Mean?

According to Arkham Intelligence, Lazarus Group, the notorious hackers of North Korea, currently holds a total of 13,518 BTC. As of Bitcoin’s current price of $83,263, North Korea’s BTC holding is valued at a staggering $1.13 billion.

Notably, the US is the largest holder of Bitcoin with a total of 198,109 BTC ($16.47 billion). Closely following are China and the United Kingdom, boasting 195,000 BTC (16.18 billion) and 61,245 BTC ($5.1 billion), respectively.

Previously, El Salvador and Bhutan secured the fourth and fifth positions with Bitcoin holdings of 10,634 BTC ($886 million) and 6,118 BTC ($509.5 million), respectively. Following the $1.4 billion Bybit hack, North Korea jumped to the fourth place, overtaking Bhutan and El Salvador. Despite reportedly rising to third place, North Korea’s cryptocurrency holdings actually rank fourth, trailing behind those of the United States, China, and the United Kingdom.

This has sparked speculations of North Korea’s potential Bitcoin reserve strategy, further fueled by Changpeng Zhao’s comments.

Is North Korea Embracing Bitcoin Reserve?

Surprisingly, the coincidence in North Korea’s rise in BTC holdings and the US’ Bitcoin reserve adoption has raised speculations. The cryptocurrency community is puzzled as to why the Lazarus Group chose to convert the pilfered funds into BTC. Meanwhile, Changpeng Zhao’s comments intensified anticipations of North Korea’s possible Bitcoin reserve adoption.

Meanwhile, the Bank of Korea rejected the idea of adopting the Bitcoin reserve in opposition to South Korea lawmakers’ proposal. The BoK stated, “In the case of cryptocurrency market instability, transaction costs to cash out Bitcoins could rise drastically.”

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Nynu V Jamal

Nynu V Jamal is a passionate crypto journalist with three years of experience in blockchain, web3, and fintech spheres. She has established herself as a knowledgeable and engaging voice in the cryptocurrency and blockchain space. Her experience as an Assistant Professor in English Language and Literature has further added to her quest for crafting informative, well-researched, and accessible content.

Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.