A venture capitalist, a recruiter from a large company, and a newly hired remote IT worker may seem unrelated, but they all have something in common: they've been discovered as imposters working for the North Korean regime, according to security researchers.
At Cyberwarcon, a conference focused on cyber threats, experts warned of North Korean hackers infiltrating multinational corporations by posing as job applicants. Their goal is to generate funds for North Korea's regime and steal corporate secrets that support its weapons program. Over the past decade, these hackers have stolen billions in cryptocurrency to finance North Korea's nuclear efforts, circumventing international sanctions.
Microsoft's James Elliott discussed how North Korean IT workers have infiltrated “hundreds” of companies worldwide by creating fake identities and using U.S.-based intermediaries to handle their workstations and earnings, avoiding financial sanctions. Researchers describe the threat as coming from various North Korean hacker groups, all targeting cryptocurrency theft. Since the country is already under heavy sanctions, the regime faces little risk from these cyberattacks.
One group, called "Ruby Sleet," targeted aerospace and defense firms to steal industry secrets for weapon development. Another, "Sapphire Sleet," impersonated recruiters and venture capitalists in campaigns aimed at stealing cryptocurrency. In one case, they tricked victims into downloading malware by disguising it as a fix for virtual meeting issues or as part of a job skills assessment. These hackers reportedly stole over $10 million in cryptocurrency in just six months.
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The most persistent threat, however, comes from North Korean hackers infiltrating remote workforces, taking advantage of the COVID-19-driven shift to remote work. Microsoft labels these IT workers a "triple threat" as they not only steal money and secrets but also extort companies by threatening to expose their stolen data. Though many companies have unknowingly hired North Korean spies, only a few have come forward publicly. One such company, KnowBe4, revealed that it had hired a North Korean employee but quickly blocked their access when the deception was discovered.
North Korean IT workers typically create fake online profiles to appear credible, using AI for face-swapping and voice manipulation. After being hired, their laptops are shipped to facilitators in the U.S., who then install remote access software, enabling hackers to control the laptops from abroad. These workers operate not only from North Korea but also from allies like Russia and China, making it harder for companies to detect them.
Microsoft uncovered details of this operation when it stumbled upon a North Korean IT worker’s public repository containing spreadsheets and documents detailing the scheme, including false identities and résumés. Researchers also identified flaws in the hackers' fake identities, such as linguistic errors or conflicting information about locations.
U.S. authorities have imposed sanctions on North Korean-linked organizations involved in these schemes, and the FBI has warned about the use of AI-generated “deepfakes” in cybercrime. In 2024, U.S. prosecutors charged individuals running laptop farms that helped evade sanctions. Despite these efforts, experts stress that companies must improve their vetting processes to prevent such infiltration.
“These hackers are not going away,” Elliott warned. “They’ll be around for a long time.”
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