Back in August, North Korea surprised many observers by hosting its first ever international cryptocurrency conference. Following what the country’s media claimed was a resounding success, the second conference will now take place in April 2019. The Pyongyang Blockchain and Cryptocurrency Conference will run for seven days, offering all-inclusive packages to delegates that include accommodation and various extra-curricular activities, for a price of just under USD 4000.

The event is open to all except delegates from Japan, South Korea, and Israel. There is also a blanket ban on journalism and printed information, echoing a lot of the secretive state’s efforts at promoting tourism in the country over the last few years.

The West, as with most other issues, are at odds with the idea that North Korea is taking on a more active interest in cryptocurrency. Analysts can point to Venezuela for a similar issue. Last year, President Maduro created a state cryptocurrency backed by oil – the Petro - as a way of bypassing US-led financial sanctions. The highly controversial crypto was even deemed to be illegal by the state itself, but the plans still went ahead.

Since then, a recent report by cybersecurity firm Inksit Group has claimed that North Korea had hacked exchanges and created false ICOs within South Korea in an effort to bypass their own financial sanctions. Indeed, the fact that the country is not part of SWIFT means that they have significant issues when it comes to cross-border transactions. This is, of course, one of the main successes of blockchain technology and cryptocurrency; and something that North Korea could look to exploit.

The report, which looks at Internet usage patterns in North Korea, suggested that the country was also behind Marine Chain, a scam ICO located in Singapore. These issues will make the US sit up and take note, as other countries with financial sanctions in place, such as Iran and Turkey, also mull over whether to develop their own cryptocurrencies. Russia has also mentioned the idea of a crypto-Ruble on some occasions.

The wider argument that situations like this bring up is the issue of regulation. Cryptocurrency has come to the fore due in large part to anonymity. While this has been seen as a bonus by those who wish to protect their data, it has also been a popular way for criminals to do business undetected. At present, no major western nations have signed off on any form of regulation, but the UK, the EU, and the US have all spent public funds on blockchain investigation. And all of these investigations have centered in part around whether some kind of regulation is necessary for cryptocurrencies to make a successful merger with the financial mainstream. Significant developments within a country like North Korea may yet persuade the US and its allies to clamp down on free trade in the crypto sphere.