In January of this year, the US Securities and Exchange Commission (SEC) preemptively posted the approval of Spot Bitcoin ETFs in the United States. Now, the man behind that has been apprehended, as the FBI has arrested the SEC X (formerly Twitter) hacker who posted the false news.
A press release from the US Department of Justice has announced that 25-year-old Eric Council was behind the unauthorized takeover of the account. According to a statement from the US Attorney’s Office of the District of Columbia, the post led Bitcoin to spike by $1,000.
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FBI Arrets Man Who Hacked SEC Twitter, Falsley Posted Bitcoin ETF Approval
At the start of the year, the SEC approved the first-ever crypto-based ETF in the United States. The decision was a monumental moment for the industry in the US. Moreover, it led Bitcoin to reach an all-time high of $73,000 just three months later.
Yet, before the announcement had been made official, the SEC had seen its X account compromised. The person who took control published a post confirming the approval that had yet to take place. Now, the FBI has arrested the ban behind the SEC Twitter hack and false Bitcoin ETF approval message.
SEC Chair Gary Gensler
Source: Bloomberg
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The US DOJ reported that Eric Council has been charged by indictment “with conspiracy to commit aggravated identity theft and access device fraud.” According to the report, “Council conspired with others” to take control of the SEC account. Moreover, they sought to falsely proclaim the official approval of the Bitcoin investment vehicle.
The press release also notes that the SEC’s corrective disclosure led Bitcoin to fall more than $2,000 in value. They also note that Council took control of the account through a “SIM Swap.” The SEC would approve the ETF a short time after the hack took place.
