North Korea Becomes Third-Largest Government Bitcoin Holder After Bybit Hack

North Korea is now the third-largest government Bitcoin holder, thanks to a $1.5 billion Bybit hack by its Lazarus Group. With 13,562 BTC, it surpasses Bhutan and El Salvador. Meanwhile, the U.S. and China still dominate bitcoin holdings also without any purchases made

Rebecca Denton

Mar 18, 2025 - 2 min read

Thanks to its infamous Lazarus Group, North Korea is now the third-largest government Bitcoin holder. The Lazarus Group is a state-sponsored cybercrime syndicate known for its sophisticated hacking campaigns, including the $625 million Ronin Bridge attack and the $100 million Harmony Horizon Bridge exploit.

On February 21, 2025, hackers pulled off a $1.5 billion attack on crypto exchange Bybit, primarily stealing Ethereum (ETH) before swapping it for BTC. The attack, reportedly carried out by the Lazarus Group, exploited a vulnerability in Bybit’s withdrawal system, allowing unauthorized transfers. The stolen funds were rapidly laundered through mixing services and thousands of blockchain addresses, making recovery difficult.

According to Arkham Intelligence, North Korea now holds 13,562 BTC, worth around $1.14 billion, leapfrogging Bhutan (around 9,000 BTC) and El Salvador (approximately 2,800 BTC) to claim third place among government holders.

El Salvador persistently buys bitcoin with government funds, even defying IMF demands to halt the practice.

Less known in the crypto world, a small Himalayan kingdom, Bhutan, leveraged its abundant hydropower resources to mine Bitcoin as early as 2019. Bhutan’s state-owned investment arm, Druk Holding & Investments, led the initiative, but it remained undisclosed until 2023 when court documents of BlockFi bankruptcy revealed the country’s involvement in crypto mining.

With around 198,000 BTC, the United States remains the largest Bitcoin holder, largely due to seizures from criminal cases, including the Silk Road takedown and the Bitfinex hack recovery.

China follows closely with approximately 194,000 BTC, primarily acquired through the 2019 PlusToken Ponzi scheme seizure. The PlusToken scam defrauded millions of investors, accumulating a vast crypto fortune before Chinese authorities cracked down and confiscated the assets. While the fate of these BTC holdings remains unclear, China is believed to have liquidated a portion of its reserves over time.

Notably, the three largest bitcoin-holder states, the U.S., China, and North Korea, have all amassed BTC without direct purchases.

The timing is interesting, too. Just as the U.S. rolls out its Strategic Bitcoin Reserve, North Korea’s growing crypto pile raises questions about how digital assets fit into global power plays.