SBI Crypto loses $21M as funds laundered through Tornado Cash by suspected North Korean hackers
Experts warn of growing risks as state-linked hackers increasingly exploit privacy tools to evade detection and fund illicit activities.
SBI Crypto, a Japan-headquartered Bitcoin mining pool under SBI Group, lost $21 million to suspected North Korean hackers who laundered the stolen funds through Tornado Cash, according to blockchain investigator ZachXBT.
The outflows from SBI Crypto-linked wallets were routed through instant exchanges before being deposited into Tornado Cash, a decentralized mixing protocol that obscures transaction origins.
Recent blockchain analyses reveal a pattern of suspected North Korean-linked groups targeting cryptocurrency exchanges, with funds typically channeled through privacy-focused tools to hide their source.
International authorities have intensified scrutiny on mixing services following similar incidents.
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Tornado Cash previously faced sanctions designed to curb its use in illicit finance operations. However, its sanctions were lifted earlier this year after a US court ruling.
Investigations into comparable exchange breaches have uncovered connections between various attacks, suggesting coordinated efforts by state-affiliated actors to fund operations through stolen crypto assets.