Eric Council Jr., accused of breaching the United States Securities and Exchange Commission’s (SEC) X account, has received approval to travel over the holiday season. The alleged hacker is permitted to visit North Carolina from December 23 to December 29, accompanied by a third-party custodian. Judge Amy Berman Jackson of the US District Court for the District of Columbia outlined that Council must submit detailed travel plans and accommodation information to Pre-Trial Services at least two business days prior to departure.
Council faces allegations of infiltrating the SEC’s X account on January 9 and posting a fabricated announcement claiming the approval of Bitcoin exchange-traded funds (ETFs). The fake message, falsely attributed to SEC Chair Gary Gensler, briefly impacted cryptocurrency markets before being removed. Notably, the SEC officially approved such ETFs a day later.
The Federal Bureau of Investigation apprehended Council in Alabama on October 17. He pleaded not guilty to charges of conspiracy to commit aggravated identity theft and access device fraud. Although a trial date has yet to be determined, the court hinted at a possible plea agreement by January 17, requiring Council’s in-person attendance.
Before the alleged hack, the crypto industry was eagerly awaiting a decision on the SEC’s stance regarding spot Bitcoin ETFs. Authorities accuse Council of participating in a group that gained unauthorized access to the SEC’s X account through a SIM swap attack, momentarily spiking Bitcoin’s price by over $1,000. Following the incident, it was revealed that the SEC’s account lacked two-factor authentication, raising concerns about its security protocols.
As the case progresses, the crypto community continues to monitor the implications of this breach on broader regulatory and security practices.
