Bitcoin and the cryptocurrency world were recently stirred by the hacking of the SEC’s Twitter account and a false announcement of a Bitcoin ETF approval. SEC Chairman Gary Gensler was expected to make a statement regarding the incident. Gensler provided information about what happened with his announcement. Let’s look at the details of the statement together.
Hacker Made Two Bitcoin-Related Posts
Unexpectedly, SEC Chairman Gary Gensler announced that an unauthorized party accessed the official SEC Twitter account @SECGov on Wednesday, January 10, 2024, at around 00:03 Turkey time. The unauthorized party, having gained control of the relevant phone number, made a post at 16:11 falsely announcing that the Commission had approved spot bitcoin exchange-traded funds.
The next post at 00:08 only contained the word “BTC.” While the second post was deleted, the first announcement remained. The SEC currently guarantees that there is no indication that the unauthorized party accessed SEC systems, data, devices, or other social media accounts.
Rapid Response and Recovery Efforts
The SEC’s Office of Public Affairs quickly took action after becoming aware of the danger. A post from the official SEC Twitter account @garygensler was made 20 minutes after the share, warning the public about the danger. Additionally, the unauthorized post was clarified, and it was emphasized that the Commission had not approved any products traded on the spot bitcoin exchange.
At 00:42, a new post on the official SEC Twitter account @SECGov officially confirmed the account had been compromised. Furthermore, the SEC asked for help from X.com to terminate the unauthorized access. Current information indicates that the unauthorized access was terminated approximately 4 hours later.
Cybersecurity Alert and Ongoing Evaluation
Aware of the seriousness of the incident, the SEC underscored its commitment to cybersecurity obligations. While SEC staff continue to assess the impact of the incident on the SEC, investors, and the market, particular attention is being paid to concerns about the security of the SEC’s social media accounts. Ongoing evaluations will determine whether additional remedial measures are necessary.
In response to the hack, SEC staff are actively coordinating with relevant law enforcement and federal oversight agencies, including the SEC’s Office of Inspector General, the Federal Bureau of Investigation, and the Department of Homeland Security’s Cybersecurity and Infrastructure Security Agency. These joint efforts aim to conduct a comprehensive investigation of the hack. The SEC also stated that it would provide updates on the incident as appropriate.
It’s important to note that the SEC prefers to announce its actions to the public solely through its official website (http://www.sec.gov). Social media channels, including Twitter, are only used to reinforce announcements made on the SEC’s website.
