Main Points to Consider
- A man from Alabama executed a SIM swap to unlawfully gain access and control of the SEC’s Twitter account.
- A misleading tweet regarding Bitcoin ETF approval triggered a swift $1,000 rise followed by a $2,000 drop in Bitcoin prices.
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The Federal Bureau of Investigation (FBI) has today reported the apprehension of Eric Council Jr., an Alabama resident connected to a January 2024 unauthorized breach of the U.S. SEC’s X (previously known as Twitter) account. This breach resulted in a fictitious claim about spot Bitcoin ETFs, significantly impacting the market.
According to the FBI, Council utilized a SIM swap method to take control of the SEC’s X account, where he disseminated a fraudulent announcement regarding the SEC’s approval of Bitcoin ETFs. This misinformation caused Bitcoin’s price to spike by $1,000, only to crash over $2,000 when the SEC rectified the error.
The @SECGov twitter account was compromised, and an unauthorized tweet was posted. The SEC has not approved the listing and trading of spot bitcoin exchange-traded products.
— Gary Gensler (@GaryGensler) January 9, 2024
What transpired?
As per the FBI, to implement the SIM swap scheme, Council and his accomplices obtained personal identifying information (PII) and an ID card template from a victim. He fabricated a counterfeit ID and displayed it at a cellular service provider’s store in Huntsville, Alabama, facilitating the acquisition of a new SIM card linked to the victim’s phone number.
Armed with the new SIM card, he bought a new iPhone to access the victim’s phone account, subsequently procuring the access codes necessary to log into the “@SECGov” account. Once he had control of the account, Council shared the access codes with his co-conspirators, who then published the spurious message.
In exchange for his part in the breach, Council was compensated in Bitcoin. Post-attack, he traveled to Birmingham, Alabama, to dispose of the iPhone utilized to access the SEC account.
Following the incident, Council conducted internet searches for queries like “SECGOV hack,” “telegram sim swap,” “how can I know for sure if I am being investigated by the FBI,” and “What are the signs that you are under investigation by law enforcement or the FBI even if you have not been contacted by them.”
Council is facing charges of conspiracy to commit aggravated identity theft and access device fraud, with his initial court date set for today in the Northern District of Alabama.
This story is evolving.
