Laundering site Sinbad seized

The Sinbad cryptocurrency mixing service faces sanctions from the U.S. Department of the Treasury for its involvement in money laundering activities linked to the North Korean Lazarus hacking group. Their hacks frequently appear on this page due to the sophisticated nature of the North Korean government sponsored group.

The Treasury’s Office of Foreign Assets Control (OFAC) alleges Sinbad’s use in large-scale crypto heists, contributing to significant financial losses. Sinbad processed funds from Lazarus Group heists, such as the Horizon Bridge and Axie Infinity incidents.

Lazarus, infamous for phishing attacks and blockchain vulnerabilities exploitation, has targeted crypto platforms, including Axie Infinity, Harmony Horizon, Atomic Wallet, and CoinsPaid, amassing millions. Funds stolen by Lazarus reportedly finance North Korea’s operations, as per the F.B.I., most notably their nuclear weapons programs.

The Treasury Department discloses that Sinbad played a key role in mixing stolen funds from various hacks. To escalate the crackdown, international law enforcement seized the Sinbad website domain through a coordinated effort involving the U.S., Netherlands, and Poland.

The Federal Bureau of Investigation (FBI) executed the seizure warrant, leading to the takedown of Sinbad’s services. The Tor site for Sinbad is also offline, indicating a comprehensive effort to halt its operations. This action follows OFAC’s previous sanctions on North Korean hacking groups, including Lazarus, emphasizing the ongoing commitment to combating cyber threats.