North Korean Hackers Use AI — A Bigger Threat Than Quantum Computing
North Korean hackers are no longer just coding — they’re training models. Experts warn that the regime’s cyber units are turning AI into a weapon more dangerous for crypto than any quantum computer on the horizon.
AI-Powered Attacks on the Rise
Mysten Labs cryptographer Kostas Halkias told CoinDesk that artificial intelligence is now embedded in every stage of North Korea’s hacking pipeline — from spear-phishing to laundering stolen crypto.> “Neural networks are the best tool I’ve ever had as a white-hat hacker. Now imagine what happens when that power ends up in the wrong hands,” Halkias said.
According to him, groups like Lazarus use large-language models (LLMs) to automatically scan thousands of smart contracts for vulnerabilities. By combining previous breach data with real-time blockchain analytics, these systems can identify similar weak spots across projects within minutes.
What used to take a team of engineers now requires a single prompt — transforming a small state-sponsored unit into something resembling a digital military-industrial complex.
Worse Than Quantum Computing
While quantum computing still looms as a theoretical risk, Halkias argues that AI already poses a real and immediate danger.> “There’s no evidence that any computer today can break modern cryptography. We’re at least a decade away from that,” he said.
AI, however, is eroding defenses from another angle — automation. With open-source DeFi codebases, LLMs can dissect logic line by line and pinpoint exploitable conditions that human auditors might miss.
Halkias predicts regulators will soon require continuous, AI-assisted auditing for exchanges and smart contracts.
> “Every new version of GPT or Claude finds new weak points. If you’re not testing your system against them, you’re already behind,” he warned.
AI Meets Propaganda
Beyond financial crimes, North Korea has begun experimenting with deepfakes and AI-generated propaganda. The regime’s hybrid tactics blend misinformation with social-engineering campaigns — the kind that trick even experienced professionals into compromising keys or MFA tokens.But the real threat, Halkias says, isn’t cinematic deepfakes — it’s the human element amplified by AI. “Social engineering 2.0 is here,” he noted. “The machine writes, persuades, and deceives faster than we can fact-check.”
The Real Race
Asked whether Pyongyang could build a quantum computer, Halkias was blunt:> “The real race is between the U.S. and China. North Korea doesn’t need quantum machines to break crypto — they need AI to make their attacks invisible.”
For now, the Lazarus Group and its clones continue to target exchanges and DeFi protocols worldwide, evolving faster than defenses can adapt. And every new generation of AI only sharpens their edge.
Editorial Team — CoinBotLab