Fake Post from SEC’s Hacked X Account Leads to Euphoria in Crypto Markets
The FBI is investigating a hack of the SEC’s (Security and Exchange Commission) X account (formerly known as Twitter) that rocked the cryptocurrency world on Tuesday ahead of the regulator’s approval of a bitcoin exchange-traded fund late Wednesday. The SEC said that the “unauthorized content” on the agency’s verified account on X was “not drafted or created by the SEC.”
Bitcoin and other digital assets experienced significant price fluctuations after the fake message was posted Tuesday: Bitcoin prices shot up by more than 2.5% before falling again as the misinformation quickly spread across various media platforms. Coinbase, a major cryptocurrency exchange, even posted a celebratory message on social media on Tuesday. However, 15 minutes later SEC Chair Gary Gensler said the agency’s account was “compromised,” allowing for an “unauthorized” tweet to get posted.
A spokesperson for X later said that the SEC’s social media account lacked the basic security measure of two-factor authentication, raising fundamental questions about the agency’s cybersecurity protocols. Read more about this story on our LinkedIn page
Bitcoin and other digital assets experienced significant price fluctuations after the fake message was posted Tuesday: Bitcoin prices shot up by more than 2.5% before falling again as the misinformation quickly spread across various media platforms. Coinbase, a major cryptocurrency exchange, even posted a celebratory message on social media on Tuesday. However, 15 minutes later SEC Chair Gary Gensler said the agency’s account was “compromised,” allowing for an “unauthorized” tweet to get posted.
A spokesperson for X later said that the SEC’s social media account lacked the basic security measure of two-factor authentication, raising fundamental questions about the agency’s cybersecurity protocols. Read more about this story on our LinkedIn page