Alabama Man Gets Prison Time for Role in SEC Twitter Hack That Manipulated Bitcoin Prices

World May 17, 2025 Add to Reading List

Eric Council Jr. was sentenced to 14 months in federal prison for his involvement in the January 2024 hack of the Securities and Exchange Commission’s (SEC) X account, which temporarily caused bitcoin prices to soar over $1,000.

Council pleaded guilty three months ago in Washington, D.C., to conspiracy charges involving aggravated identity theft and access device fraud. He helped others gain control over the SEC’s X account and send out a misleading tweet.

The fraudulent tweet claimed the SEC had officially approved bitcoin exchange-traded funds (ETFs), causing bitcoin prices to spike sharply before falling once the SEC regained access and denied the tweet’s accuracy.

Interestingly, the SEC announced approval of bitcoin ETFs the day following the hack, but the initial fake message created confusion and affected investor confidence at a critical moment.

Prosecutors recommended a 24-month sentence, but the court sentenced Council to 14 months. Prosecutors highlighted a video where Council admitted to the hack but blamed the SEC’s cybersecurity failures and suggested the hack was an “inside job.”

In the video, Council criticized the SEC’s cybersecurity, mentioning an “85-year-old with dementia” as a weak link. The animated video ended with Council minimizing his and his co-conspirators’ responsibilities.

Council’s attorney sought a reduced sentence of 12 months and one day, citing Council’s clean record and marijuana use for mental health support. The attorney declined to discuss the video referenced by prosecutors.

Council’s role involved a SIM swap attack where he used a forged driver’s license and convinced an AT&T employee to transfer a victim’s phone number, allowing hackers to control the SEC’s X account.

Using aliases like “Ronin” and “AGiantSchnauzer,” Council earned around $50,000 in bitcoin. Law enforcement recovered fake IDs, a portable printer, and incriminating digital searches during a search of his home and car.