Report: North Korea May Exploit Southeast Asia’s Crypto Exchanges

North Korea could pose a threat to countries across Southeast Asia as it looks to exploit cryptocurrency exchanges due to gaps in regulatory frameworks, according to a new report.The research from the Royal United Services Institute (RUSI) finds that as North Korea continues to circumvent international sanctions, it’s turning its attention to cryptocurrencies such as bitcoin. Due to the proximity of Southeast Asia to North Korea, this makes it vulnerable to the nation’s cryptocurrency activity.“Since Southeast Asia also features a nascent but burgeoning cryptocurrency industry, local law enforcement agencies will likely require further knowledge and resources to ensure that they can successfully respond to cryptocurrency-related criminal activity over time should the local cryptocurrency industry continue to grow in scale,” the report reads.Cryptocurrency in Southeast AsiaSpecifically, the research evaluates Cambodia, Indonesia, Laos, Malaysia, the Philippines, Singapore, Thailand and Vietnam, with the use of cryptocurrency and the size of its industry varying greatly among them.In Cambodia, for instance, crypto use is believed to be minimal, with the first exchange applying to operate in the region in August 2018. Yet, in Thailand, three cryptocurrency exchanges were granted licenses to operate at the beginning of this year. As the study notes, BX Thailand is the largest crypto exchange, ranking among the 100 largest global...