Do you really think that's not the case, or that that isn't going to considerably skew where these attacks come from?
Badly, I guess, because no one has mentioned evidence or a lack of evidence anywhere in the thread.
> How exactly do you determine that a hack originated in Russia when Russian ips will not hand over their traffic to US authorities?
There are a lot of different ways. GEOIP is just one method. Examining the artifacts for code-reuse from other malware is another big one. Looking at the types of attacks is another ie: "this malware uses these techniques, and these are favored by groups 1,2,3".
There's a lot more to it than that, and not all of it is public. I've seen attribution done through backdoor channels that were not strictly legal.
> In reality, our cyber security agencies have no idea where these guys are coming from
No, more often than not we definitely do.