North Korea has become a top bitcoin holder due to cyber thefts, particularly by the Lazarus Group, just as the U.S. prepares to launch its Strategic Bitcoin Reserve. With this, North Korea now ranks as the third-largest government holder of bitcoin, a stark contrast to the U.S. and U.K.’s strategies in digital currency acquisition.
As the U.S. prepares to implement a Strategic Bitcoin Reserve (SBR) following President Trump’s Executive Order, North Korea has reportedly emerged as one of the top three government holders of bitcoin. This development raises concerns that a hacking group, allegedly linked to the North Korean regime, has transformed ill-gotten gains into bitcoin, effectively creating a concealed national savings mechanism.
North Korea’s rise in the bitcoin rankings is primarily attributed to the Lazarus Group, a state-associated hacking organization. On February 21, 2025, this group executed a significant theft at Bybit, amassing over $1.4 billion in stolen cryptocurrency, predominantly ethereum, which was subsequently converted into bitcoin. Current estimates from Arkham Intelligence indicate the group’s bitcoin holdings now total 13,562 BTC, valued at approximately $1.14 billion, effectively turning cybercrimes into a national asset.
This accumulation of cryptocurrency by North Korea occurred prior to the U.S. announcement of the SBR, but the timing is noteworthy. Just days before Trump’s public mention of the SBR on March 2, 2025, the crypto reserves began increasing, with the Executive Order formalized on March 6, 2025. The U.S. government is positioned as the largest bitcoin holder with 198,109 BTC, valued at about $16.71 billion.
The United Kingdom follows as the second-largest holder with 61,245 BTC, approximately $5.17 billion, accumulated largely through asset seizures rather than a formal SBR initiative. North Korea’s bitcoin holdings place it just behind the U.K., while countries like Bhutan and El Salvador hold smaller amounts; Bhutan possesses 10,635 BTC worth $897.60 million, and El Salvador has 6,117 BTC valued at $516.11 million.
The coincidence of North Korea’s bitcoin accumulation with the U.S. SBR announcement invites speculation about Kim Jong Un’s potential intentions in the cryptocurrency space. This dynamic juxtaposes Washington’s strategic approach with North Korea’s clandestine operations, illustrating a complex interplay of motivations ranging from economic policy to cybersecurity. The situation highlights the blurred lines of state behavior in the evolving landscape of digital currencies.
In summary, North Korea has ascended to become a significant holder of bitcoin, attributed primarily to cyber thefts by the Lazarus Group. This development is notable, especially as the U.S. launches its Strategic Bitcoin Reserve, emphasizing the contrasting methodologies of two nations in navigating the realm of digital currencies. North Korea’s strategy suggests a sophisticated blend of cyber tactics and geopolitical maneuvering, alongside the U.S.’s formal reserve strategy.
Original Source: news.bitcoin.com
