The FBI Arrested Eric Council Jr. for Hacking SEC’s Account and Spreading a Fake Tweet about the Approval of Bitcoin ETFs
This fake tweet caused market volatility, with the price of Bitcoin increasing by $1,000 before dropping by $2,000 once the message was debunked.
Ironically, the SEC approved Bitcoin ETFs the following day, highlighting the vulnerabilities of public institution accounts on social media.
The FBI announced the arrest of 25-year-old Eric Council Jr., who has been accused of participating in the hack of the SEC’s account on Twitter. This hack led to the dissemination of a false message claiming that the American agency had approved Bitcoin ETFs, causing significant volatility for a brief moment.
Accessing the SEC’s Account and Spreading the Fake Tweet
According to the FBI, Eric Council Jr., originally from Alabama, allegedly conspired with unidentified individuals to take control of the SEC’s Twitter account. Once the account was compromised, Council allegedly transferred control to his accomplices, who then published a widespread misleading message. This tweet, claiming that “the approval of #Bitcoin ETFs for listing on all registered national exchanges” was official, had an immediate effect on the market.
Market Manipulation: Bitcoin Goes on a Roller Coaster Ride
On January 9th, after the fake tweet was published, the price of Bitcoin surged by $1,000 within minutes, fueled by the false news of the ETFs’ approval. However, this increase quickly turned into an equally brutal collapse: as soon as the SEC regained control of its account and deleted the message, BTC plummeted by $2,000. The SEC then issued a denial, stating that the information was false.
Ironically, the American agency actually approved Bitcoin ETFs the following day, on January 10th. However, the impact of the fake tweet demonstrated how sensitive markets can be to information disseminated on social media, whether verified or not.
Payment in Bitcoin for the Hack and a Suspect History
According to the FBI, Eric Council Jr. was allegedly paid in Bitcoin for his services in this hack. This compensation in cryptocurrency highlights one of the paradoxes of this type of attack: the use of Bitcoin as a currency for illicit activities while directly affecting its value through market manipulation.
Council’s search history is simply incriminating:
“Hack SECGOV”
“How can I be certain if I’m being investigated by the FBI?”
“What are the signs that you’re being investigated by law enforcement or the FBI, even if they haven’t contacted you?”
This hack highlights the vulnerabilities of public institutions on social media platforms. Gaining access to the account of such an influential entity as the SEC allowed hackers to temporarily manipulate the price of one of the world’s most closely watched financial assets. The fact that the hacking was orchestrated and executed successfully, even for a short period, raises concerns about the digital security of these organizations and the potential impact of such actions on global financial markets.
