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North Korea’s IT worker scheme funds Russia’s war effort

DTEX researchers found a series of transactions in a payment wallet showing North Korean IT worker salaries flowing into sanctioned entities that support the regime’s military programs.
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Russian President Vladimir Putin and North Korean leader Kim Jong Un toast.
In this pool photograph distributed by the Russian state agency Sputnik, Russian President Vladimir Putin and North Korean leader Kim Jong Un toast during a reception at the Mongnangwan Reception House in Pyongyang on June 19, 2024. Putin enjoyed a red carpet welcome, a military ceremony and an embrace from North Korea's Kim Jong Un during a state visit to Pyongyang where they both pledged to forge closer ties. (Photo by Vladimir Smirnov / POOL / AFP via Getty Images)

The people orchestrating North Korea’s IT worker scheme are funneling money through a web of front companies and intermediaries, including sanctioned entities, that partly fund Russia’s war effort against Ukraine, DTEX said in a report Tuesday.

The security firm’s research shows that the scheme is moving beyond funding the country’s weapons program and into a bigger pool that supports many of the regime’s objectives. This includes manufacturing weapons and supplying them to Russia’s military, according to DTEX.

“When we think IT workers, we typically think head down, get your money, support the weapons program,” Michael Barnhart, nation state investigator at DTEX and lead author of the report, told CyberScoop.

“It’s a broad cover-all statement when we say it’s supplying the weapons program,” he said. “That’s the predominant place it goes,” but many other domestic programs and entities tasked with other projects are taking cuts from that pool of money as well. 

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Barnhart corroborated previously leaked data from an internal North Korean payment server, which included 390 IT worker accounts, chat logs and transaction data.

He mapped the transactions to organizations that received those funds, including multiple sanctioned entities: Sobaeksu, Saenal, and Songkwang. 

The money trail also showed $1.97 million in payments from North Korean IT workers between December 2025 and February 2026 flowing directly through Korea Ryonbong General Corp, a sanctioned defense entity that procures weapons for the regime’s military programs.

Western officials previously reported that North Korea provided ammunition and weapons to Russia in 2023, and in the fall of 2024 sent upwards of 15,000 soldiers to fight alongside Russian troops, according to the Council on Foreign Relations.

“This is a consequence that is often overlooked,” Barnhart wrote in the report. “Revenue from the IT worker stream does not stop at a resume scam or a payroll-abuse story. It can feed a larger DPRK system that supports sanctioned entities, domestic state needs, and a Russia war effort that is actively consuming all facets of North Korean weapons and military support.” 

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Data from the internal North Korean payment server, which was first published by ZachXBT in April, is controlled by “PC-1234,” a single administrator that DTEX has been tracking for a while. The wallet and its cluster of activity remains active, Barnhart said. 

The three months of previous activity attributed to the wallet amounted to more than $2.84 million, which then flowed upward into dozens of organizations. 

“It’s not a top-down funded regime. It’s a bottom-up,” Barnhart said. “Everyone makes money at the bottom and then they take a tiny cut, and then the money goes upwards to what we just blanketly say is the weapons program. But really, it can go a lot more places.”

Matt Kapko

Written by Matt Kapko

Matt Kapko is a reporter at CyberScoop. His beat includes cybercrime, ransomware, software defects and vulnerability (mis)management. The lifelong Californian started his journalism career in 2001 with previous stops at Cybersecurity Dive, CIO, SDxCentral and RCR Wireless News. Matt has a degree in journalism and history from Humboldt State University.

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