South Korea’s Supreme Prosecutors’ Office is looking to hunt down illegal crypto funds by purchasing a software program that tracks down crypto transactions and sources, a local media outlet reported Friday.

See related article: DPRK hackers sneak US$52 mln in crypto into S.Korean exchanges: Chainalysis

Fast facts

  • The tracking program is expected to be used by the Special Investigations Unit for Corruption Crimes at the Seoul Central District Prosecutors’ Office, which is investigating over US$7.2 billion worth of funds illegally transferred overseas via a crypto exchange.
  • The prosecutors reportedly suspect the remitted funds are related to money laundering and hidden property overseas, and are working with the National Tax Service and local financial authorities. 
  • While the prosecutors have not specified the firm or entity from which they will purchase the tracking software, the authorities have requested that the software provide real-time monitoring of crypto transactions, information on the connection between different transactions, transaction details between wallets and exchanges and the source of illegal funds, Kukmin Daily reported. 
  • Other government agencies such as the U.S. Federal Bureau of Investigation (FBI) and Europol have worked with Chainalysis, a U.S.-based blockchain data analysis firm, in tracing illicit blockchain activities, such as that of North Korean hackers
  • The parties will cooperate on crime investigation involving crypto assets, prevention of money laundering and damages from such illegal activities. 

See related article: South Korea seizes US$184 mln in crypto towards unpaid taxes