A man from Alabama has been arrested for his role in a scheme that tricked people into thinking the SEC had approved Bitcoin ETFs.
The FBI has arrested Eric Council Jr. for his involvement in the January 2024 hack of the SEC’s Twitter account. Council and his accomplices posted a fake tweet claiming the SEC had approved Bitcoin ETFs. This fake news caused Bitcoin’s price to jump, only to crash later when the SEC confirmed the tweet was a lie.
How the Hack Went Down
The group used a technique called “SIM swapping” to take over the SEC’s Twitter account. They tricked a mobile phone provider into transferring the SEC’s phone number to a device they controlled.
Council’s Role
Council obtained fake identification to perform the SIM swap at a mobile phone store in Alabama. He then used the SEC’s Twitter account to post the fake news about Bitcoin ETFs. After the hack, Council received Bitcoin for his role in the scheme.
Caught Red-Handed
Council’s internet searches showed he was aware of the legal consequences of his actions. He searched for information about the SEC hack, SIM swapping, and potential FBI investigations.
Facing Charges
Council was arrested and is facing charges of conspiracy to commit aggravated identity theft and access device fraud. He will appear in court in Alabama.
Bitcoin’s Price
At the time of the arrest, Bitcoin was trading at $67,500.
