WASHINGTON, D.C. – The U.S. Securities and Exchange Commission (SEC) announced on Tuesday that its official account on the social media platform X had been hacked by an unidentified party. This incident marks the most recent in a series of hacking attacks used to promote cryptocurrencies.
The hacked account, @SECGov, posted a tweet claiming that the agency had approved the listing of bitcoin exchange-traded funds (ETFs) on national exchanges. The tweet gained significant traction, attracting millions of views, before the SEC regained control and declared the statement false. Several media outlets had already reported on the initial tweet by that time.
In response to the incident, SEC Chair Gary Gensler tweeted that the agency’s account had been compromised and an unauthorized tweet had been posted. He clarified that the SEC had not approved the listing and trading of bitcoin exchange-traded products. The SEC later confirmed that the hacker had taken control of the account for a brief period.
The SEC spokesperson, Stephanie Allen, stated that the agency would collaborate with law enforcement and other government partners to investigate the matter and determine necessary actions against the unauthorized access and any associated misconduct.
Bitcoin advocates have repeatedly sought the SEC’s permission to list such funds, as they would provide investors with a regulated avenue to participate in the cryptocurrency market.
The false tweet briefly caused a surge in bitcoin prices, potentially allowing those aware of the scam to profit significantly. The incident gained attention not only due to the hack itself but also because the compromised account possessed a verified silver check mark, indicating its status as an important and prominent government account on X.
The security protocols of such verified accounts, including the SEC’s, are currently unclear. However, it would be surprising if at least some form of two-factor authentication was not in place.
The SEC hack follows similar attacks on smaller government accounts and private organization accounts with verified gold checks over the past few weeks. Considering the likelihood of these accounts having two-factor authentication, security experts suggest that these incidents indicate a broader vulnerability or potentially a new hacking technique. X, the platform where the hack occurred, did not respond to requests for comment.
In conclusion, the SEC revealed that its official account on X was hacked, leading to the dissemination of false information about the approval of bitcoin ETFs. The agency vowed to investigate the incident alongside law enforcement and government partners. Security concerns have been raised regarding verified accounts on social media platforms, as these incidents highlight potential vulnerabilities.