South Korea disputes responsibility for North Korean hacker attacks on crypto exchanges

Which authority in South Korea has to take care of the crypto hacking attacks of the North Korean regime?

A heated political debate has broken out in South Korea about which authority is responsible for defending against North Korean hacker attacks on domestic crypto exchanges.

The South Korean financial regulator recently emphasized that it does not see itself responsible

According to a report in Fn News, the South Korean Financial Services Regulatory Authority (FSC) responded to a written question from the parliamentary committee on regulatory affairs on October 23. The FSC does not see itself as responsible for dealing with stolen crypto assets that were stolen from the Lazarus Group, a hacking group supported by the North Korean regime.

The supervisory authority argues that Bitcoin Code simply do not fall within their area of ​​responsibility, without giving specific reasons.

Instead, she sees responsibility with the State Department and the Communications Authority (KCC)

Both the Ministry of Foreign Affairs and the KCC see the FSC as being responsible for damage caused to crypto exchanges by the hacker attacks, since these are financial matters. To this end, they emphasize that the financial supervisory authority is “fully entrusted with the processing and supervision of service providers for virtual assets, including crypto exchanges”.

The opposition parliamentarian Seong Il-jong also disagrees with the FSC’s assessment and points out that „with the amendment to the South Korean crypto law, all crypto-related processes have been placed under the supervision of the FSC“.

In February it was reported that the Lazarus Group had attacked several South Korean crypto exchanges in 2019.

In August, the US Army reported that North Korea has now stationed more than 6,000 hackers in countries such as Belarus, China, India, Malaysia and Russia.