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Security experts say North Korea's "open" theft of crypto assets has become a means of financing.

According to Odaily Odaily, as the infiltration and attacks targeting the crypto industry continue to escalate, security experts point out that the core difference between these attacks and those from other countries lies in the fact that crypto assets have become an important direct source of funding for the country's military spending. According to reports, North Korean hackers have once again shaken the industry in their recent months-long infiltration operation targeting Drift Protocol. Experts say the scheme is not simply a "money transfer tool," but rather a direct "predatory profit-making" method used to circumvent international sanctions and obtain readily available hard currency. Security researchers point out that, unlike countries like Russia and Iran, North Korea lacks sustainable external economic and commodity export capabilities, thus relying more heavily on crypto theft as a core source of revenue to support its nuclear weapons and ballistic missile programs. Experts also emphasize that North Korean hackers have expanded their targets from simple phishing attacks to those holding key permissions on exchanges, wallet services, and DeFi protocols, and commonly employ long-term social engineering and identity spoofing infiltration techniques. Because blockchain transactions are "irreversible once confirmed," the crypto industry is far weaker than the traditional financial system in terms of freezing and recovering funds, making such attacks more destructive in terms of speed and scale. Security experts warn that this type of attack, characterized by "long-term infiltration + precise power grab," has not yet been effectively addressed by the industry. (CoinDesk)
Disclaimer: The views above are the author's only and do not represent 711BTC. Nothing here constitutes investment advice.

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07-06 16:45

South Korea's Supreme Court plans to introduce procedures for the seizure and disposal of crypto assets, which are expected to be formally implemented in October.

According to Mars Finance, on July 6th, the South Korean Supreme Court proposed a draft amendment to its civil enforcement rules, aiming to establish procedures for the seizure, attachment, and liquidation of crypto assets, providing a clear legal basis for courts to enforce civil judgments involving cryptocurrencies. According to the draft, after a court issues a seizure order, the debtor will be immediately prohibited from disposing of the relevant crypto assets and must transfer the assets to a court enforcement officer. The seizure will officially take effect upon the officer's receipt. Regarding asset disposal, the court can directly transfer the crypto assets to the creditor according to the value determined by the court, or instruct the enforcement officer to sell the assets. The enforcement officer can transfer the assets to a dedicated account of a Virtual Asset Service Provider (VASP) for sale, or entrust a relevant platform to sell them on their behalf; if necessary, the assets can also be converted into more liquid cryptocurrencies such as Bitcoin before liquidation. Furthermore, the draft amendment clarifies preservation measures for crypto assets during litigation, including preliminary attachment and injunctions, to prevent debtors from transferring or concealing crypto assets. The South Korean Supreme Court stated that with the increasing number of civil cases involving crypto assets, it is necessary to improve the relevant enforcement rules. The draft will be open for public comment until August 11, and the revisions are expected to take effect in October this year.

07-06 21:02Important

Crypto hacker losses decreased by 47% year-on-year in the first half of 2026, but the overall security situation has not improved.

According to Foresight News , citing Cointelegraph, total losses from cryptocurrency security incidents in the first half of 2026 amounted to approximately $1.32 billion, a 46.8% decrease year-over-year. However, CertiK warns that this figure is misleading. The data from the same period last year was severely distorted by the massive $1.4 billion theft from Bybit, the largest single hack in history. In reality, attackers are becoming more targeted and destructive. Specifically, phishing attacks resulted in $508.2 million in losses in the first quarter, while losses in the second quarter rose 59% quarter-over-quarter to $807.5 million. Over 70% of these losses came from the KelpDAO and Drift Protocol incidents, both believed to be the work of North Korean state-sponsored hackers. A report from TRM Labs during the same period also indicated that the number of attacks surged from 83 to 207 in the first half of the year, the highest on record, with smart contract vulnerability attacks accounting for 60%. CertiK also points out that private key and multi-signature wallet management remain the most vulnerable security areas that attackers can exploit. He recommends that protocol providers strengthen private key management from multiple levels, including hardware security, multi-signature governance, and geographically dispersed signers.

07-06 17:57

Starting October 1st, South Korea will introduce civil seizure rules for crypto assets, allowing courts to directly freeze, transfer, and dispose of digital assets through local crypto exchage.

PANews reported on July 6 that, according to Solid Intel, South Korea will introduce civil seizure rules for crypto assets starting October 1, allowing courts to directly freeze, transfer, and dispose of digital assets through local crypto exchage.

07-07 14:44

Security experts indicate that approximately $22 million in illicit funds flowed into HitBTC in 2026, and the platform repeatedly refused to cooperate with the investigation.

According to ChainCatcher, Darcy, co-founder of FlashRescue, disclosed that approximately $22 million in illicit funds flowed into the cryptocurrency exchange HitBTC in 2026. He pointed out that HitBTC refused to cooperate with police investigations on two separate occasions, a practice consistent with the platform's actions, as reported by several on-chain investigators. He mentioned that in the Bybit theft case, as much as $3.68 million from a money laundering network linked to DPRK (North Korea) flowed into HitBTC, but the platform again failed to cooperate with the relevant authorities in subsequent investigations.

07-08 06:04

The CFTC has charged a North Carolina man with a $14 million cryptocurrency and futures fraud.

According to Odaily Odaily, the U.S. CFTC has filed a lawsuit against Trevor Vernon, a North Carolina man, and his company, Argent Capital Management LLC, accusing them of defrauding approximately 60 investors of $14 million through a fake commodity Ponzi scheme. According to a complaint filed Tuesday in the U.S. District Court for the Western District of North Carolina, Vernon and his company operated commodity pools involved in trading across multiple asset classes, including stock index futures options, stock index futures contracts, and crypto assets. The CFTC stated that Vernon misled investors by claiming to be a "successful trader" through quarterly financial updates and monthly performance review emails, but in reality, he consistently incurred significant losses when using investor funds for trading. Regulators said Vernon had lost at least $8.6 million in futures, options, and crypto trading. The CFTC stated that its actual trading results were "consistent and catastrophic losses," significantly inconsistent with the profitability it presented to investors.

07-05 11:33

The South African Revenue Office has released tax guidelines for crypto assets, potentially subjecting approximately 6 million users to audits.

Odaily Odaily that the South African Revenue and Taxation Office (SARS) released a draft guidance on cryptocurrency taxation on July 1, 2026, proposing compliance rules for approximately 5.8 million to 6 million cryptocurrency users in South Africa, with a public comment period open until August 31, 2026. Under the updated framework, crypto assets are classified as intangible assets, not foreign or traditional currencies, and taxpayers are not required to pay tax on unrealized gains or losses while simply holding the assets. Tax obligations are triggered upon disposal of the assets. If an individual's crypto activity is deemed similar to business activities or short-term day trading, profits will be classified as gross income and taxed at marginal rates ranging from 18% to 45%. If crypto assets are held as long-term investments, capital gains tax will be levied on disposal gains, with an effective individual tax rate ranging from 18% to 36%. The draft also treats the exchange of crypto assets as a barter transaction, with tax consequences arising immediately at the local market value at the time of exchange. SARS announced the deployment of a Crypto Revenue Augmentation Unit to track and audit digital wallets, and urged taxpayers who had previously failed to disclose crypto earnings to complete their filings through a voluntary disclosure program to avoid administrative penalties from increased enforcement after the August deadline. (Bitcoin.com News)