Blockhead admits to helping North Korea mine crypto-bucks, faces 20 years jail
(2021/09/28)
- Reference: 1632807845
- News link: https://www.theregister.co.uk/2021/09/28/blockhead_admits_to_helping_north/
- Source link:
A US citizen has admitted to helping the Democratic People's Republic of Korea (DPRK) to establish cryptocurrency capabilities and faces up to 20 years jail for his actions.
The Department of Justice (DoJ) on Monday [1]revealed that Virgil Griffith, a US citizen resident in Singapore, hatched plans in 2018 to help an individual in the hermit kingdom mine cryptocurrency.
In 2019 Griffith visited North Korea and spoke at a local cryptocurrency conference. The DoJ alleges that Griffth and his co-conspirators "provided instruction on how the DPRK could use blockchain and cryptocurrency technology to launder money and evade sanctions" and "how blockchain technology such as 'smart contracts' could be used to benefit the DPRK, including in nuclear weapons negotiations with the United States".
[2]
The DoJ alleges that after the conference, Griffith "attempted to recruit other US citizens to travel to North Korea and provide similar services to DPRK persons, and attempted to broker introductions for the DPRK to other cryptocurrency and blockchain service providers".
[3]
[4]
North Korea stands accused of [5]multiple [6]attacks on [7]cryptocurrency [8]infrastructure , conducted to help it secure funds it cannot access thanks to international sanctions imposed in protest at the DPRK's human rights record.
Or, perhaps more accurately, its record of terrible human rights abuses – the United Nations' [9]Commission of Inquiry on Human Rights in the Democratic People's Republic of Korea found that the nation's government has conducted "systematic, widespread, and gross human rights violations, some amounting to crimes against humanity".
[10]
The USA therefore prohibits exports of almost anything to the DPRK without a licence. And such a licence is not granted easily.
Almost every nation on Earth sanctions the DPRK for those activities, its belligerent pursuit of nuclear weapons, and its missile test program. The latter was on show today, with the launch of a short-range ballistic missile seemingly timed to coincide with the appearance of the DPRK's Ambassador at the United Nations.
Griffith was charged with failing to obtain permission from the US Office of Foreign Assets Control before engaging with the DPRK, and pled guilty to conspiring to violate the International Emergency Economic Powers Act.
[11]
That single violation could earn Griffith 20 years inside when he is sentenced in January 2022. ®
Get our [12]Tech Resources
[1] https://www.justice.gov/usao-sdny/pr/united-states-citizen-pleads-guilty-conspiring-assist-north-korea-evading-sanctions
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
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[5] https://www.theregister.com/2021/02/17/north_korean_hackers/
[6] https://www.theregister.com/2017/09/13/north_korea_swells_war_chest_with_bitcoin/
[7] https://www.theregister.com/2020/04/16/north_korea_hacking/
[8] https://www.theregister.com/2021/02/10/north_korea_cryptocurrency
[9] https://www.ohchr.org/en/hrbodies/hrc/coidprk/pages/commissioninquiryonhrindprk.aspx
[10] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[11] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[12] https://whitepapers.theregister.com/
The Department of Justice (DoJ) on Monday [1]revealed that Virgil Griffith, a US citizen resident in Singapore, hatched plans in 2018 to help an individual in the hermit kingdom mine cryptocurrency.
In 2019 Griffith visited North Korea and spoke at a local cryptocurrency conference. The DoJ alleges that Griffth and his co-conspirators "provided instruction on how the DPRK could use blockchain and cryptocurrency technology to launder money and evade sanctions" and "how blockchain technology such as 'smart contracts' could be used to benefit the DPRK, including in nuclear weapons negotiations with the United States".
[2]
The DoJ alleges that after the conference, Griffith "attempted to recruit other US citizens to travel to North Korea and provide similar services to DPRK persons, and attempted to broker introductions for the DPRK to other cryptocurrency and blockchain service providers".
[3]
[4]
North Korea stands accused of [5]multiple [6]attacks on [7]cryptocurrency [8]infrastructure , conducted to help it secure funds it cannot access thanks to international sanctions imposed in protest at the DPRK's human rights record.
Or, perhaps more accurately, its record of terrible human rights abuses – the United Nations' [9]Commission of Inquiry on Human Rights in the Democratic People's Republic of Korea found that the nation's government has conducted "systematic, widespread, and gross human rights violations, some amounting to crimes against humanity".
[10]
The USA therefore prohibits exports of almost anything to the DPRK without a licence. And such a licence is not granted easily.
Almost every nation on Earth sanctions the DPRK for those activities, its belligerent pursuit of nuclear weapons, and its missile test program. The latter was on show today, with the launch of a short-range ballistic missile seemingly timed to coincide with the appearance of the DPRK's Ambassador at the United Nations.
Griffith was charged with failing to obtain permission from the US Office of Foreign Assets Control before engaging with the DPRK, and pled guilty to conspiring to violate the International Emergency Economic Powers Act.
[11]
That single violation could earn Griffith 20 years inside when he is sentenced in January 2022. ®
Get our [12]Tech Resources
[1] https://www.justice.gov/usao-sdny/pr/united-states-citizen-pleads-guilty-conspiring-assist-north-korea-evading-sanctions
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[3] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[5] https://www.theregister.com/2021/02/17/north_korean_hackers/
[6] https://www.theregister.com/2017/09/13/north_korea_swells_war_chest_with_bitcoin/
[7] https://www.theregister.com/2020/04/16/north_korea_hacking/
[8] https://www.theregister.com/2021/02/10/north_korea_cryptocurrency
[9] https://www.ohchr.org/en/hrbodies/hrc/coidprk/pages/commissioninquiryonhrindprk.aspx
[10] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[11] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33YVLn8iaTL50Wq@dkxZqZ3AAAAEc&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[12] https://whitepapers.theregister.com/
Pascal Monett
I'm sorry, you're expecting a polititian to have balls these days ?
DPRK as whipping boy
Shame the US act like a bully with a big stick
I have no issues with DPRK sanctions, would just like to see a few more countries alos looked at
However, if we are thinking about human rights abuses..
Saudi Arabia have form (and majority of 911 attackers were Saudi if the US want a "danger" angle as well as human rights) - but too may financial entanglements between US and Saudi for that to happen.
China have form - ask Tibetans, Uyghurs etc. But again lots of financial involvement, and even worse China are also a bully with a big stick.
I could go on and on listing dodgy countries, but its only the weedy one with no money loss attached that gets hammered, show some consistency (and balls) & apply morality based sanctions more widely.