A young man named Eric Council Jr., aged 25, has been taken into custody in Athens, Alabama in connection with a daring SIM swap attack that resulted in the unauthorized access of the U.S. Securities and Exchange Commission’s X account. This incident, which occurred in January 2024, sparked a conspiracy that caused Bitcoin prices to skyrocket within minutes.

Council stands accused of orchestrating a scheme to manipulate the price of Bitcoin by carrying out a SIM swap attack that led to the fabrication of a message on the SEC’s account. This false message claimed the approval of Bitcoin exchange-traded funds (ETFs) on all registered exchanges, causing Bitcoin prices to surge by $1,000 before a correction by the SEC resulted in a sharp drop of over $2,000.

The indictment against Council alleges that he utilized stolen personal information and a fake ID to execute the SIM swap attack, gaining control of a phone number associated with an individual who had access to the SEC’s account. SIM swap attacks exploit vulnerabilities in how mobile carriers reassign phone numbers, enabling criminals to bypass security measures like two-factor authentication.

Following the fraudulent SIM swap, Council acquired an iPhone to obtain necessary access codes and collaborated with accomplices to issue the fake ETF approval announcement. Subsequently, he returned the iPhone for cash in Birmingham and conducted online searches related to SEC government hacks and FBI investigations.

Authorities were able to link Council to the SIM swap attack through his various online aliases, such as “Ronin,” “Easymunny,” and “AGiantSchnauzer,” along with his activities during the incident. U.S. Attorney Matthew Graves emphasized the seriousness of SIM swapping and the FBI’s commitment to combat cyber-enabled fraud that jeopardizes sensitive data and disrupts financial markets.

Council’s arrest highlights the escalating threat posed by sophisticated digital scams aimed at prominent organizations. The Justice Department, FBI, and SEC’s Inspector General’s office collaborated in the investigation, with significant assistance from the FBI’s Birmingham Field Office.

In a statement, the authorities acknowledged the growing concern surrounding cybercrimes targeting high-profile entities and reiterated their dedication to apprehending individuals involved in such malicious activities. The arrest of Council serves as a reminder of the ongoing efforts to confront and prosecute those responsible for cybersecurity breaches and financial market disruptions.

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