This chapter analyzes the origin and development of the second nuclear crisis on the Korean peninsula and, elsewhere in detail, has evaluated the first through the third rounds of six-party talks as a multilateral framework for resolving the nuclear issue. It maintains that United States (US) the Democratic People's Republic of Korea (DPRK) bilateral talks are essential to a peaceful and diplomatic resolution of North Korea's nuclear standoff. Both need to engage in direct negotiations without preconditions through the six-party process. Both the US's and North Korea's hard-line policies cannot resolve the nuclear issue peacefully. The chapter evaluates the fourth and fifth rounds of the six-party talks as a multilateral framework of resolving the nuclear issue, analyses US financial sanctions against North Korea and the positions of concerned parties, and suggests policy recommendations for implementing the joint statement to realize a denuclearized Korean peninsula.