North Korea’s notorious cybercriminal group, the Lazarus Group, is facing accusations for orchestrating a £17 million cryptocurrency heist against Lykke, a UK-based crypto trading platform. The attack saw stolen Bitcoin and Ethereum funds siphoned off from Lykke, marking one of the largest known cyberattacks linked to North Korean actions targeting British financial infrastructure. The heist forced Lykke to shut down, leading to a significant loss for their clients who lost £5.7 million in remaining funds after the company’s liquidation. The UK Treasury’s Office of Financial Sanctions Implementation (OFSI) confirmed the Lazarus Group as responsible, noting that stolen funds were laundered through both Bitcoin and Ethereum networks. While the agency didn’t disclose specific sources, it collaborated with law enforcement agencies to investigate the incident. Further, Israeli crypto research firm Whitestream alleged the Lazarus Group was behind the attack, pointing to their use of unregulated crypto exchanges known for hiding transactions and avoiding anti-money laundering rules. However, attribution remains inconclusive. Lykke, founded by Richard Olsen, a descendant of Swiss financial magnate Julius Baer, aimed to offer a fee-free cryptocurrency trading platform. The Financial Conduct Authority (FCA) in the UK issued a warning about Lykke’s license restrictions in 2023 before the hack, ultimately leading to the company’s shutdown and liquidation after more than 70 customer complaints. Interpath Advisory was appointed to oversee the distribution of funds to affected users. Meanwhile, North Korea has long been involved in cybercrime with notorious hacker groups like Lazarus Group. Last week, crypto investigator ZachXBT revealed that a group of North Korean IT workers had been linked to a $680,000 crypto hack using fake identities and mainstream tech. The collapse of Lykke underscores the growing need for heightened cybersecurity measures in today’s digital economy, particularly as trust plays an increasingly vital role in international finance.