Eric Council Jr. Pleads Guilty to Hacking SEC’s X Account to Illegally Pump Bitcoin Prices

Eric Council Jr., from Athens, Alabama, has owned up to his role in hacking the U.S. Securities and Exchange Commission’s social media account on X

Eric Council Jr. of Athens, Alabama, has admitted to involvement in hacking the U.S. Securities and Exchange Commission’s social media account on X (formerly Twitter).

The cyberattack led to a fake post claiming the SEC had approved Bitcoin Exchange Traded Funds (ETFs), briefly sending BTC prices skyward, jumping over $1,000 per token.

Council's Elaborate Hack for a Bitcoin Payday

Back in January 2024, the 25-year-old masterminded an elaborate attack with partners to target the SEC’s official X account.

Council took advantage of the ETF excitement to announce the approval of the Bitcoin ETF, a regulatory step that had been highly anticipated.

While the fake post led to a brief spike in Bitcoin prices, the SEC acted quickly to regain control of the account, setting the record straight on the fraudulent announcement and confirming it was a hack. Even with the clarification, the market reacted drastically, with Bitcoin prices taking a hit and dropping by $2,000 per token.

Related: Metaplanet’s Stock is Up 3,600% Thanks to Bitcoin

SIM Swap Scheme Detailed in Court

Court documents further revealed that Council used a SIM swap scheme to pull off the entire attack.

He had a victim's phone number illegally moved to a device that he controlled. Using stolen personally identifiable information, Council then faked ID cards to successfully pose as the victim and illegally get into the SEC’s X account.

His accomplices then went ahead to post the bogus ETF announcement. For his part, Council got paid in Bitcoin.

FBI and SEC Vow to Continue Fighting Cybercrime

Federal officials, including agents from the FBI and the SEC, announced the guilty plea, making it clear that they are still dedicated to prosecuting cybercrime to the fullest extent.

Council is scheduled for sentencing on May 16 and could face up to five years in prison.

Related: Radiant Capital Hit by $50M Cyberattack: North Korea Group Linked

Beyond the SEC Hack: Evolving Online Scams

Scammers often jump on trending topics or events to trick victims using SIM swap schemes. More recently, these criminals have started using famous names like Elon Musk to push fake giveaways and investment scams.

The pattern is obvious: whatever’s hot becomes a weapon for these fraudsters. This really highlights how important it is to protect personal accounts to avoid getting caught out by these changing tricks.

Authorities in Council’s case are still digging into the matter, showing that they are keeping a close eye on cyber threats targeting financial systems.

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