The past week has highlighted both the opportunities and risks shaping the global crypto industry. In London, trade groups are pressing the U.K. government to ensure blockchain is part of the country’s upcoming “tech bridge” partnership with the U.S.. Meanwhile, in a sobering reminder of crypto’s vulnerabilities, North Korean hackers drained $1.3 million from a THORChain co-founder in an elaborate deepfake scam.
UK Trade Groups: “Don’t Sideline Blockchain”
Several major U.K. organizations including the Cryptoasset Business Council, UK Finance, and TheCityUK have urged ministers to make digital assets and blockchain a core part of the UK–US Tech Bridge deal.
In a letter to Business Secretary Peter Kyle and Treasury Economic Secretary Lucy Rigby, the groups warned:
“Excluding digital assets from the UK-US Tech Bridge would be a missed opportunity. It risks leaving Britain on the sidelines while others particularly in the Middle East and Asia move ahead in setting the standards that will shape the future of finance.”
The “tech bridge” is aimed at strengthening collaboration with Washington on emerging technologies like AI, quantum computing, and cybersecurity. Advocates argue that blockchain deserves equal footing, given its role in payments, financial infrastructure, and tokenized assets.
A government spokesperson echoed the importance of the partnership, saying the U.K. and U.S. are “natural partners” thanks to their trillion-dollar tech sectors. But whether blockchain makes it into the final framework remains uncertain.
THORChain Co-Founder Hit by Deepfake Hack
While policymakers debated blockchain’s future, a stark security breach showed the sector’s ongoing risks. THORChain co-founder JP Thor revealed he lost roughly $1.3 million after falling victim to a sophisticated North Korean cyberattack.
The hack began when a friend’s Telegram account was compromised, leading Thor into what appeared to be a legitimate Zoom call. During the session, hackers deployed a deepfake video of his friend to gain trust. In reality, malicious code was executed in the background.
The script copied his iCloud files and exploited a zero-day vulnerability, eventually draining his MetaMask wallet linked to an inactive Chrome profile.
Thor later shared screenshots of the breach on X (formerly Twitter), warning the community about the growing sophistication of state-backed cybercrime.
To encourage recovery, his team has offered a bounty for the return of funds, promising no legal consequences if the stolen crypto is returned within 72 hours.
A Bigger Pattern of North Korean Hacks
The attack on Thor is part of a broader trend. According to blockchain security firms, North Korea-linked groups have stolen over $2 billion in 2025 alone, targeting both exchanges and individuals.
The most high-profile case came in February, when hackers made off with $1.5 billion from Bybit. Combined with deepfake video calls, fake job offers, and developer-targeted malware, this year’s thefts highlight a rapidly evolving playbook.
Experts warn that video verification is no longer reliable in an era of AI-generated fakes, urging firms and executives to adopt stricter protocols.
The Takeaway
On one hand, crypto’s potential as a cornerstone of international trade policy is clearer than ever, with the U.K. industry lobbying to secure blockchain’s role in the Tech Bridge. On the other, its vulnerabilities remain equally stark, as North Korean cyberattacks continue to siphon billions from the sector.
Together, these stories capture crypto’s defining paradox in 2025: a technology powerful enough to reshape global finance, but still fragile enough to be exploited by bad actors.
