The man who hacked the official social media account of the US Securities and Exchange Commission (SEC) to post a fake announcement about the approval of a Bitcoin exchange-traded fund (ETF) has been arrested.
Eric Council, a 25-year-old resident of Alabama, has been charged with conspiracy with conspiracy to commit aggravated identity theft and device fraud.
Alex DovbnyaIn early January, the SEC confirmed that its account was compromised after its account prematurely announced the widely expected approval of Bitcoin ETF. The fake news made the price of Bitcoin experience a significant spike, surging to $48,000.
The agency was caught off-guard by the incident. Back then, SEC officials told Reuters that the hack was startling and surprising.
After the agency announced that the post was fake, the price of the cryptocurrency crashed by more than $2,000. Of course, the SEC went on to actually approve Bitcoin ETFs, pushing the price of the cryptocurrency substantially higher.
Council and co-conspirators pulled off a SIM-swapping attack by printing a fraudulent identification card and presenting it at a mobile phone provider store. They were then able to gain access to the victim's social media accounts and subsequently post a fraudulent post that was evidently meant to manipulate the price of Bitcoin.
Notably, Council used his personal computer in order to perform internet searches that includes "what are some signs that the FBI is after you."
Tomiwabold Olajide
Dan Burgin
U.Today Editorial Team
Vladislav Sopov