Senators J.D. Vance and Thom Tillis sent a letter to SEC Chair Gary Gensler.
The hacker tweeted a statement implying that spot Bitcoin ETFs had been authorized.
After the hack of the SEC’s Twitter account on January 9, two U.S senators have demanded that the agency disclose the incident to Congress.
On the same day, Senators J.D. Vance and Thom Tillis sent a letter to SEC Chair Gary Gensler, expressing their “serious concerns” about the commission’s internal cybersecurity processes in light of the event.
Given the latest hack’s impact on “widespread confusion,” the two senators have asked the SEC to disclose the event to Congress. They are bringing up the recently concluded rules on cybersecurity disclosures as an example. A deadline of January 23 was imposed in the letter that was issued on January 9.
Report Demanded from SEC
Also included in the letter was a reminder to the SEC of the need that all companies reveal the full extent of any cybersecurity issue’s effects on the company no later than four days after the incident occurred.
The letter further mentioned:
“If this ‘compromised’ social media post was indeed a result of a cybersecurity attack, would it be possible for the Commission (SEC) to provide Congress with a report on the breach within four business days? If not, please explain why.”
On January 9th, the event took place when the SEC’s twitter account tweeted a bogus statement implying that spot Bitcoin ETFs had been authorized in the U.S. The crypto community’s elation, however, was short-lived when Gensler disclosed that an unauthorized tweet had been sent out from the SEC’s twitter account, which was claimed to be hacked.
Quickly SEC Chair Gary Gensler revealed that spot bitcoin ETFs had not received authorization to list or trade. In only a few short hours, almost $140 million was liquidated. The sharp drop in Bitcoin’s value was expected. The price of Bitcoin soared from $46,700 to $48,000 initially, then it crashed to the $45,300 zone in the span of minutes.