SEC X Hacker Sentenced for Bitcoin ETF Hoax

Eric Council Jr., a 26-year-old from Alabama, was sentenced to 14 months in prison and three years of supervised release for hacking the SEC’s X (formerly Twitter) account in January 2024. Council used a SIM swap attack, employing a fake ID to secure a replacement SIM card linked to the SEC’s social media account. He and his co-conspirators falsely announced SEC approval of Bitcoin ETFs, which caused Bitcoin’s price to surge by over $1,000 before dropping by more than $2,000 after the SEC clarified the account was hacked. Council pleaded guilty to conspiracy to commit aggravated identity theft and access device fraud, and must forfeit $50,000. The case highlighted key cybersecurity weaknesses in institutional social media and the financial market’s sensitivity to regulatory news. Despite Council’s cooperation, no co-conspirators have been publicly identified or charged.