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17 October, 2024

SEC X Account Hacker Arrested by FBI

17 October, 2024

Eric Council Jr., a 27-year-old from North Carolina, has been apprehended by the FBI for allegedly hacking the Securities and Exchange Commission’s (SEC) X account, causing a significant drop in the cryptocurrency market. The incident, which occurred in September 2023, resulted in a $230 million loss for investors. Council Jr. is accused of using SIM swapping to gain unauthorized access to the SEC’s Twitter account, where he posted a fake press release announcing a new regulatory crackdown on cryptocurrencies. This led to a panic selloff, wiping millions off the value of digital assets.

SIM swapping is a technique used by cybercriminals to hijack a person’s phone number and gain control of their online accounts. This is often done by bribing or deceiving mobile phone carriers into transferring the target’s phone number to a new SIM card controlled by the attacker. Once the attacker has access to the target’s phone number, they can easily bypass two-factor authentication (2FA) and gain access to sensitive accounts.

The FBI investigation is ongoing, and Council Jr. faces serious charges, including computer fraud and wire fraud. This case highlights the importance of strong security practices, including using multi-factor authentication and being wary of suspicious communications. It also serves as a reminder that even government agencies are vulnerable to cyberattacks.