Eric Council Jr., 25, from Alabama, was arrested today for hacking the SEC’s X account in January 2024. Council and his accomplices took control of the account through a SIM swap attack.
They posted a fake message, falsely claiming that the SEC had approved the first U.S. spot Bitcoin ETFs. This caused Bitcoin’s value to spike by $1,000, then drop by $2,000 after the SEC corrected the misinformation.
Council now faces conspiracy charges to commit identity theft and access device fraud.
See Related: Chinese Intelligence Officers Allegedly Bribe An FBI Agent With BTC Worth $61,000
How Did He Hacked The SEC’s X Account?
The FBI and other agencies are investigating the incident, which highlights the dangers of SIM swapping. In these attacks, criminals fraudulently transfer a victim’s phone number to another device, allowing them to bypass security features like two-factor authentication.
Using stolen personal information, Council gained access to the SEC’s X account. He then posted the fraudulent message, causing a brief market frenzy. The investigation found that Council was paid in Bitcoin for his role. He also tried to cover his tracks by returning the phone used in the attack.
Law enforcement emphasized the seriousness of cybercrimes that manipulate financial markets. The FBI and SEC are committed to pursuing and prosecuting those responsible. This case is a reminder to protect personal information, especially in the digital age.
The investigation continues, and Council is expected to appear in court soon. All defendants are presumed innocent until proven guilty in a court of law.