An Alabama man, Eric Council Jr., pleaded guilty on Monday to hacking into the Securities and Exchange Commission’s (SEC) social media account in January 2024 and posting a fraudulent message that led to a brief surge in bitcoin’s value. Council, 25, from Athens, posted a fake announcement using the name of then-SEC Chairman Gary Gensler, which caused bitcoin’s value to increase by over $1,000, according to the Department of Justice.
Council was arrested in October 2024 and has since pleaded guilty to conspiracy to commit aggravated identity theft and access device fraud. He is scheduled for sentencing on May 16, 2025, before Judge Amy Berman Jackson, facing a maximum sentence of five years in prison. Following his arrest, Council was released into his parents’ custody on a $5,000 bond.
Court documents revealed that the fraudulent post falsely claimed the SEC had approved bitcoin exchange-traded funds (ETFs), a highly anticipated move in the cryptocurrency market. The SEC later approved bitcoin ETFs for mainstream investment just a day after the false post. After the breach, the SEC quickly regained control of its social media account and clarified that the announcement was a result of unauthorized access.
Council, along with accomplices, gained control of the SEC’s account by exploiting a Subscriber Identity Module (SIM) swap — a technique where criminals trick a cellphone provider into transferring a victim’s phone number to a new SIM card under their control. Using this method, Council impersonated a victim, obtained their personal information, and used it to gain access to the SEC’s social media.
Council received payment in bitcoin for his role in the hack, the DOJ stated. The investigation was conducted by the FBI Washington Field Office and the SEC Office of Inspector General.
