The U.S. Department of Justice reported that Eric Council Jr., 25, of Athens, Alabama, pleaded guilty for his role in the January 2024 unauthorized takeover of the U.S. Securities and Exchange Commission’s X account, which was used to post a false announcement that the SEC had approved Bitcoin exchange traded funds and briefly moved the price of Bitcoin. Court documents describe Council as carrying out an unauthorized subscriber identity module (SIM) swap by using a fraudulently produced identification card containing a victim’s personally identifiable information to impersonate the victim and obtain control of the victim’s cellular phone number, enabling co-conspirators to access the SEC account and post in the name of the then-SEC Chairman. Bitcoin rose by more than USD 1,000 per bitcoin after the post and fell by more than USD 2,000 per bitcoin after the SEC regained control and confirmed the message was false. Council pleaded guilty to conspiracy to commit aggravated identity theft and access device fraud, is scheduled to be sentenced on May 16, and faces a maximum penalty of five years in prison; the FBI Washington Field Office and the SEC Office of Inspector General are investigating.
U.S. Department of Justice 2025-02-10
U.S. Department of Justice announces guilty plea over SIM-swap takeover of U.S. Securities and Exchange Commission X account
Eric Council Jr. pleaded guilty to the unauthorized takeover of the U.S. Securities and Exchange Commission's X account, falsely announcing Bitcoin exchange traded funds' approval and briefly affecting Bitcoin's price. The scheme involved a SIM swap using a fraudulent ID to impersonate a victim and gain control of their phone number. Council faces up to five years in prison, with the FBI and SEC Office of Inspector General investigating.