North Korea calls U.S. claims linking it to $6bn Binance hack 'absurd rhetoric'

North Korea has denied U.S. allegations that it was behind a $6 billion cryptocurrency theft from Binance, the world's largest crypto exchange. Kim Yo Jong, sister of leader Kim Jong Un, called the accusations “absurd rhetoric” and a political provocation.

The FBI said over the weekend that a North Korean state-sponsored hacking group known as TraderTraitor was responsible for stealing more than $6 billion in digital assets from Binance, potentially making it the largest cryptocurrency theft ever recorded.

Responding to the allegations, Kim Yo Jong accused Washington of attempting to portray North Korea as a state involved in cybercrime.

“It is a grave political provocation against the DPRK that the U.S. misleads international public opinion as if all the cyber crimes in different parts of the world are our deeds,” she said, according to North Korea's state news agency KCNA.

In a statement reported on Tuesday (3 November), Kim described the accusations as another example of U.S. hostility towards Pyongyang.

Cryptocurrency theft linked to weapons funding

Cybersecurity experts have long accused North Korean hackers of stealing digital assets to help finance the country's nuclear and ballistic missile programmes. Pyongyang has consistently denied involvement in such activities.

According to blockchain analytics firm Elliptic, cryptocurrency thefts attributed to North Korea have reached an estimated $7.6 billion in 2026, exceeding the total recorded in any previous year.

Another analytics company, Chainalysis, estimated that North Korea was linked to 89 per cent of cryptocurrency hacking losses this year, compared with 15 per cent in 2021.

The firm also found that the average reported loss per attack had risen from $50.65 million in 2021 to $185.65 million in 2026.

Binance theft raises concerns over North Korea's finances

Analysts in Seoul suggested that Pyongyang's unusually rapid denial reflected concerns about possible additional U.S. restrictions on cryptocurrency transactions and money laundering networks.

“With sanctions already in place, cryptocurrency theft has become one of North Korea's key channels for securing funds for regime maintenance and weapons development,” said Lim Eul-chul, a professor at Kyungnam University's Institute for Far Eastern Studies.

“Additional U.S. measures targeting crypto wallets, laundering networks and cryptocurrency exchanges could choke off an important source of revenue,” Lim said.

South Korea's central bank estimated North Korea's economic output at approximately $35.09 billion in 2025, meaning the alleged Binance theft alone would represent roughly one-sixth of that amount.

Allegations cast shadow over U.S.-North Korea dialogue

The dispute comes as North Korea has yet to respond publicly to U.S. President Donald Trump's proposals to resume diplomatic talks with Kim Jong Un.

Kim Yo Jong warned that Pyongyang would reconsider unspecified issues following what she described as Washington's very unpleasant hostile behaviour.

Hong Min, a senior researcher at the Korea Institute for National Unification in Seoul, said the statement appeared to carry a broader diplomatic message.

“Pyongyang is essentially saying: don't use this issue as leverage or pressure if you want to keep the door to dialogue open,” he said.

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FBI tracks stolen cryptocurrency

The FBI identified TraderTraitor as the North Korean state-linked group allegedly responsible for the Binance breach.

Law enforcement had observed them allegedly converting the stolen assets to the cryptocurrency ethereum, and expected them to launder the assets further.

Binance, meanwhile, said it had used company funds to cover most of the assets stolen in the attack.

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