"Alabama Man Admits to SEC Twitter Hack, Bitcoin ETF Misinformation"

An Alabama man, Eric Council Jr., has pleaded guilty to his involvement in a high-profile hack of the U.S. Securities and Exchange Commission's (SEC) official Twitter account in January 2024. The incident resulted in a fake post announcing the SEC's approval of a Bitcoin exchange-traded fund (ETF), causing a temporary surge in Bitcoin's price before the SEC clarified the message was unauthorized.

During a hearing at the U.S. District Court for the District of Columbia, Council admitted to conspiracy charges related to identity theft and access device fraud. The fraudulent post led to a market reaction, with Bitcoin's price spiking by over $1,000 before the SEC confirmed the announcement was a result of the hack. The incident highlighted the vulnerability of high-profile accounts and the potential impact of misinformation on financial markets.

Council, who initially pleaded not guilty to the felony charge, has been free on a personal recognizance bond since his arrest in October 2024. Federal prosecutors have proposed a plea agreement, requiring Council to pay $50,000, which authorities claim he gained from the scheme. The attack was part of a larger SIM swap operation, where Council and his co-conspirators tricked a phone store employee into transferring control of the SEC's official phone number.

The breach emphasized the importance of stronger security protocols for government agencies to prevent similar cyberattacks in the future. Council's sentencing is scheduled for May 2025, and he could face a minimum of two years in prison if convicted.