Eric Council Jr., a 25-year-old hacker from Alabama, is facing a proposed two-year prison sentence after orchestrating a cyberattack on the official X (formerly Twitter) account of the U.S. Securities and Exchange Commission (SEC) in January 2024. The case has sent shockwaves through the crypto world, after a fake tweet sparked major market disruption.

💣 One Tweet Sent Bitcoin Soaring Over $1,000

Council and his team published a false post on the SEC’s X account, claiming the agency had approved spot Bitcoin ETFs — one of the most anticipated announcements in crypto.

The tweet caused Bitcoin’s price to surge by over $1,000 within minutes before being deleted and debunked.


📉 Identity Theft, SIM Swap and a Sophisticated Scam

Council admitted to using a SIM swap attack, in which he tricked a mobile service provider into assigning the SEC’s phone number to his own SIM card. With that, he gained access to authentication codes and passwords linked to the SEC’s account.

🔹 The scheme also involved forged IDs, manipulation of telecom systems, and collaboration with co-conspirators both in the U.S. and abroad.

🔹 Once he had access, Council shared the login credentials with his associates, who then published the fraudulent tweet.

⚖️ Prosecutors: Market Manipulation by Design

Council was charged with aggravated identity theft and unauthorized access to protected systems.

He pleaded guilty in January, opening the door to a likely two-year prison sentence. Prosecutors argue the attack was a calculated and technologically advanced scheme aimed at manipulating financial markets for profit.

💰 $50,000 Profit and FBI Awareness

Court filings reveal Council earned around $50,000 from the attack.

He even searched online to find out if the FBI was investigating him, showing he fully understood the risks of his actions.

📆 Sentencing Set for May 16

Council’s sentencing is scheduled for May 16 in federal court in Washington, D.C.

The case unfolds amid a shake-up at the U.S. Department of Justice, with President Donald Trump appointing new interim U.S. attorneys, often without Senate confirmation.

🛡️ SEC’s Cybersecurity in Question

The incident exposed major weaknesses in the SEC’s digital security. At the time of the hack, multi-factor authentication (MFA) was reportedly disabled — making the breach much easier.

🔐 In the aftermath, the SEC admitted its mistake and reactivated MFA across all official accounts.

The agency also urged the public to rely only on its official website for news and announcements.

🧨 The Real ETF Approval Came – But the Damage Was Done

Ironically, the SEC officially approved Bitcoin ETFs the very next day — this time for real. But by then, the damage had already been done.

The case highlights just how vulnerable global markets are to cyberattacks, and how one fake tweet can move billions in seconds.


#etf , #BTCETF , #CryptoScamAlert , #SEC , #CyberSecurity

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