He is accused of conspiring to commit aggravated identity theft and access device fraud.
That day, bitcoin skyrocketed and rose $1,000, but then corrected and lost $2,000.
The FBI today announced the arrest of Eric Council Jr., 25, in Athens, Alabama, for his alleged role in hacking the U.S. Securities and Exchange Commission (SEC) account at X, known formerly as Twitter. This incident, which occurred in January 2024, led to a false announcement that caused a USD 1,000 increase in the value of bitcoin (BTC).
Council faces charges for conspiracy to commit aggravated identity theft and access device fraud. The indictment details that on January 9, 2024, Council, along with co-conspirators, took control of the @SECGov account on X and posted a false message on behalf of the agency’s president, Gary Gensler, claiming approval of an exchange-traded fund. on the bitcoin exchange (ETF).
This false announcement caused an immediate rise in the price of BTC. The SEC quickly regained control of his account and denied the information, as reported by CriptoNoticias, which led to a subsequent drop of more than USD 2,000 per bitcoin.
The method used for the hack was a SIM swap, a technique where attackers manage to reassign a victim’s phone number to a device they control. This allows them pass two-step authentication, thus accessing sensitive accounts.
According to the accusation, Council used stolen personal information to create a fake IDwith which he obtained a new SIM card and an iPhone, used to access the SEC account at X.
FBI Acting Special Agent in Charge David Geist commented on the case: “The FBI works to identify, disrupt and investigate cyber fraud, including SIM swapping. “This method is exploited by criminals to access confidential information and perpetrate crimes like the one Council attempted, manipulating the global financial market.”
The false announcement not only affected the cryptocurrency market, but also highlighted the vulnerability of the official accounts of government entities on social networks.
It is expected that Council Makes Initial Appearance Today in the Northern District of Alabama. According to the FBI, the prosecution is being prosecuted by Assistant U.S. Attorney Kevin Rosenberg and Justice Department trial attorneys Ashley Pungello and Paul Zebb of the Computer Crimes and Intellectual Property Section, and Lauren Archer of the Fraud Section.
This article was created using artificial intelligence and edited by a human Editor.
