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Zerion Links Crypto Cyberattack to North Korean Hackers Using AI Tactics

Zerion Links Crypto Cyberattack to North Korean Hackers Using AI Tactics

AI-driven tactics emerge as new threat in crypto security landscape.

Written by Rahul Dhingra, Edited by David Delima | Updated: 15 April 2026 18:45 IST

Zerion Links Crypto Cyberattack to North Korean Hackers Using AI Tactics

Photo Credit: Unsplash/rc.xyz NFT gallery

AI-powered tactics are making crypto attacks more sophisticated

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Highlights

Attackers accessed internal credentials and wallet keys
SEAL tracked over 160 domains linked to DPRK group
Zerion plans stronger authentication and security training

The Zerion team released a post-mortem report on Wednesday, claiming that North Korean-affiliated hackers were using AI-enabled social engineering in a cyberattack. Hackers stole around $100,000 (roughly Rs. 93.4 lakh) from the company's hot wallets last week. It was later confirmed that no user funds, Zerion apps or infrastructure were affected and that the company had disabled the web app as a precautionary move. Zerion further added that the attacker gained access to some team members' logged-in sessions and credentials, as well as private keys to company hot wallets.

Report Highlights Growing Use of AI in Cyberattacks

The firm stated that the attack was similar to those that had been investigated by the Security Alliance last week. Between February and April, the nonprofit Security Alliance (SEAL) reported that it had tracked and blocked over 164 domains linked to the DPRK group UNC1069. It was also mentioned in the report that the group operates “multiweek, low-pressure social engineering campaigns” across Telegram, LinkedIn and Slack. Malicious people impersonate trusted brands or known contacts, or they use access to company and individual accounts that have already been hacked.

In a post on X, Zerion addressed this issue and gave a glimpse of how the road looked ahead. The crypto wallet said, “This incident showed that AI is changing the way cyber threats work. We are taking steps to further strengthen Zerion's security,” The firm added in the post that they will be strengthening internal policies for using credentials and authentication. The Web app will be restored in the next 48 hours. The team will be investing in team security training and working to accelerate security compliance.

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Last week, security researcher Taylor Manonan claimed that North Korean IT workers have been infiltrating DeFi platforms for the past 7 years. This includes the Drift Protocol hack as well, which disclosed a $280 million (roughly Rs. 2,600 crore) exploit, which also had a DPRK group behind it. Drift Protocol explained that this was not a typical hack, but a months-long, highly coordinated social engineering operation.

In a blog post earlier this year, blockchain security firm Elliptic also stated that ”The evolution of the DPRK's social engineering techniques, combined with the increasing availability of AI to refine and perfect these methods, means the threat extends well beyond exchanges.”

This incident reflects how cyber threats in the crypto ecosystem are evolving with the help of AI, which are making attacks more targeted and harder to detect. Cases like Zerion wallet and Drift protocol serve as an example that even established platforms are not immune to cyber threats, and hence, it reinforces the need for stringent security across the crypto landscape.

Cryptocurrency is an unregulated digital currency, not a legal tender and subject to market risks. The information provided in the article is not intended to be and does not constitute financial advice, trading advice or any other advice or recommendation of any sort offered or endorsed by NDTV. NDTV shall not be responsible for any loss arising from any investment based on any perceived recommendation, forecast or any other information contained in the article.

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Further reading: Cryptocurrency, Crypto Scams, Crypto hacks

Rahul Dhingra

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Rahul Dhingra is a crypto writer at Gadgets 360, where he covers the exciting world of Cryptocurrency, Blockchain, Defi and Web3. Before joining Gadgets 360, he worked as a content specialist for a European-based Crypto Exchange. Rahul loves storytelling, not just through the written word but also through the visual medium. Beyond his professional life, Rahul is a sports fanatic. Whether it’s cricket or football, his passion for the game is contagious. More

Zerion Links Crypto Cyberattack to North Korean Hackers Using AI Tactics

Report Highlights Growing Use of AI in Cyberattacks

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