Incredible! The SEC gets X’s account hacked and causes chaos on Bitcoin
Can one be so improvident as to cause chaos in the market that, in theory, one should control? Yes, you can, when you are the SEC, Security Exchange Commission, the federal body that is supposed to control the US financial market and you have your X-Twitter account hacked, allowing false communications that cause the markets to fall into chaos .
Premise: the authorization or rejection of the Bitcoin-based ETF is expected this week, an instrument that would definitively introduce the cryptocurrency into ordinary financial circuits, increasing its acceptance and value. A move that has so far not been authorized by the SEC, despite numerous attempts.
Yesterday, a message appeared in the SEC's official account on X, in which the regulator appeared to authorize the Bitcoin ETF:
The problem is that the account had been hacked and that the tweet had been sent by pirates who had it under control. But how did hackers take control of an official government X account? Simple: SEC officials had not even activated two-factor control of their Twitter account, allowing anyone who was able to guess the profile password and knew the associated phone number to take control of it, as we inform the X security team .
We can confirm that the @SECGov account has been compromised and we have completed a preliminary investigation.
Based on our investigation, the compromise was not due to a breach of X's systems, but rather an unidentified individual gained control of a phone number associated with the @SECGov account through a third party.
We can also confirm that the account did not have two-factor authentication enabled at the time it was compromised. We encourage all users to enable this additional layer of security.
If the password was chosen with the same care, the account breach would not have been a problem. All this closely resembles Spaceball
The SEC then flatly denied the communication, but it was too late
SEC Chairman Gary Gensler also had to intervene, denying the ETF's approval.
The @SECGov twitter account was compromised, and an unauthorized tweet was posted. The SEC has not approved the listing and trading of spot bitcoin exchange-traded products.
— Gary Gensler (@GaryGensler) January 9, 2024
If the issue seems like a farce, the consequences of the SEC's superficiality have been dramatic, with Bitcoin exploding in value, only to plummet when the disclosure was canceled.
Obviously those who placed sell orders last night made a lot of money, those who believed the SEC communications and bought were skinned alive and lost a large sum. What happened is not at all random.
Meanwhile, the SEC invites us to believe its communications, which now sounds absolutely ridiculous.
“ Be careful what you read on the internet. The best source of information about the SEC is the SEC .” It's a shame that violating his account is all too easy and the communications are therefore false.
Maybe SEC officials and interns should watch a little less porn and take their jobs more seriously
Obviously no one will pay for this disaster, but we are in the modern world, where no one is ever responsible for the disasters they cause.
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Amazing article! The SEC Gets X's Account Hacked and Causes Mayhem on Bitcoin comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/incredibile-la-sec-si-fa-violare-laccount-di-x-e-causa-il-caos-su-bitcoin/ on Wed, 10 Jan 2024 07:31:10 +0000.