COINOTAG reports a significant development in the intersection of cybersecurity and cryptocurrency regulation. On February 11, 2024, Eric Council Jr., a 25-year-old from Alabama, acknowledged his involvement in executing a cyber intrusion targeting the U.S. Securities and Exchange Commission’s (SEC) account on social media platform “X.” This breach, which took place in January 2023, was marked by a fraudulent announcement concerning the approval of the inaugural Bitcoin spot ETF.
Council, who pled guilty to charges including conspiracy to commit aggravated identity theft and access device fraud, is set for sentencing on May 16. Reports indicate that he utilized counterfeit identification to manipulate staff at a local mobile phone retailer, facilitating access to the SEC’s account. The unauthorized post on January 9, 2024, temporarily inflated Bitcoin’s price but was swiftly negated when the SEC clarified the statement as unapproved, leading to an immediate price correction. The subsequent announcement by the SEC did confirm the spot Bitcoin ETF’s approval, adding to the complexities surrounding regulatory disclosures in the crypto market.