USDC Used by North Korean IT Workers for Payments, Says ZachXBT

In Brief:

ZachXBT claims North Korean IT staff are receiving millions in USDC.

Criticizes Circle for not freezing wallets despite claiming compliance.

On-chain analyst ZachXBT has alleged that North Korean IT personnel are increasingly using USDC, the stablecoin issued by Circle, as a primary payment method for offshore work. In a post on X, ZachXBT shared that recent transaction volumes linked to these activities have reached tens of millions of dollars.

He criticized Circle for failing to freeze or monitor the wallets involved, despite publicly positioning itself as a fully compliant and regulated issuer. He added, “This is a criminal super cycle, and no one cares,” referring to the broader industry’s inaction toward illicit crypto flows.

While USDC is often praised for its transparency and regulatory positioning, this incident underscores concerns about its usage in sanctioned jurisdictions. As of now, Circle has not responded publicly to the claims or addressed whether any investigations are underway.

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