An Alabama man has pleaded responsible to his function within the high-profile hack of the US Securities and Alternate Fee (SEC)’s X account (previously often known as Twitter), spreading false details about the launch of the first-ever spot Bitcoin exchange-traded funds (ETFs) approval.
Eric Council Jr. admitted in a Washington courtroom to conspiring to commit aggravated identification theft and entry gadget fraud. US District Decide Amy Berman Jackson has set his sentencing for Could 16, the place he may face penalties or punishment for his actions.
A 25yr outdated Alabama man pleaded responsible to the now notorious SEC bitcoin ETF hack, he was utilizing a faux ID and tricked a neighborhood telephone retailer worker into serving to him entry the sufferer’s telephone… sentencing is in Could through @swillmer https://t.co/1N3v6TZV6v pic.twitter.com/U4tHXHaBdm
— Eric Balchunas (@EricBalchunas) February 10, 2025
How the Hack Unfolded
Prosecutors revealed that Council executed the assault through the use of a faux ID to deceive a neighborhood telephone retailer worker into granting him entry to the sufferer’s telephone. His actions had been allegedly by co-conspirators who initially recognized the goal and bypassed safety protocols on X.
The cyber assault passed off on January 9, 2024, only a day earlier than analysts and all the crypto market had been anticipating the SEC’s official announcement concerning Bitcoin spot ETFs. The fraudulent submit sparked rumors within the crypto market, which precipitated the surge in Bitcoin’s worth.
Nonetheless, the rally was short-lived because the SEC shortly clarified that the announcement was unauthorized. The following day, the company formally authorized the ETFs. The case reveals the vulnerabilities in monetary and regulatory establishments’ digital safety and the profound affect of misinformation on crypto markets. Approval of Bitcoin spot ETFs was a historic milestone within the trade and the rumors influenced market sentiment and worth motion.
Additionally Learn: SEC Delays Determination on Ethereum ETF Choices, Right here’s What Analysts Say