SEC Investigates X Account Breach, Lawmakers Demand Answers

Lawmakers Call for Briefing on SEC's Compromised X Account

Four U.S. lawmakers have written a letter to U.S. Securities and Exchange Commission (SEC) Chair Gary Gensler, demanding a briefing on the SEC's compromised X account. The account was breached, leading to a false tweet on January 9 announcing the approval of bitcoin exchange-traded funds (ETFs), a decision that had not yet been made by the commission. The official X account of the SEC was compromised on Tuesday evening. The letter was signed by prominent lawmakers in the financial services committee.

SEC's Ability to Communicate with Market Participants Under Scrutiny

The lawmakers expressed concern over the SEC's ability to fulfill its mission and communicate effectively with market participants. They highlighted the preliminary investigation conducted by X, which revealed that the SEC account did not have two-factor authentication enabled. An unidentified individual gained control of a phone number associated with the SEC's account, leading to the breach. The lawmakers emphasized that this failure is unacceptable, especially considering the standard of security expected from private industry. They demanded a briefing from the SEC to understand how the breach occurred and how the commission plans to prevent such incidents in the future.

Confirmation and Response from X

Following the incident, X confirmed that the SEC's account was compromised. They clarified that the breach was not due to any fault in X's systems but rather due to an unidentified individual gaining control over a phone number associated with the @SECGov account through a third party. X also revealed that two-factor authentication was not enabled for the account at the time of the breach. They encouraged all users to enable this additional layer of security to protect their accounts.

SEC's Commitment to Investigation

The SEC issued a statement after the breach, assuring the public that they would work with law enforcement and government partners to investigate the matter thoroughly. They emphasized their commitment to determining the appropriate next steps regarding the unauthorized access and any related misconduct.

Additional Criticism and Calls for Transparency

Several other lawmakers joined in criticizing the SEC and Chair Gensler after the incident. Senator J. D. Vance expressed his disappointment and demanded an explanation, stating that it is unacceptable for the agency responsible for regulating the world's capital markets to make such an error. Senator Bill Hagerty called for accountability, comparing the SEC's mistake to that of a public company. Senator Cynthia Lummis highlighted the potential market manipulation caused by fraudulent announcements and called for transparency regarding the incident.

Public Reaction and Opinion

The public has expressed concern over the SEC's compromised X account and the dissemination of a fake tweet about the approval of spot bitcoin ETFs. Many individuals have called for a thorough investigation and transparency to understand how such a breach could occur within the regulatory body responsible for maintaining fair and efficient markets.

Let us know your thoughts on the SEC's handling of the account breach and the fake tweet in the comments section below.

Frequently Asked Questions

Can I keep a Gold ETF in a Roth IRA

This option may not be available in a 401(k), but you should look into other options such as an Individual Retirement account (IRA).

A traditional IRA allows contributions from both employee and employer. Another way to invest in publicly traded companies is through an Employee Stock Ownership Plan.

An ESOP gives employees tax advantages as they share the stock of the company and the profits it makes. The money you invest in the ESOP will be taxed at a lower rate than if it were directly held by the employee.

Also available is an Individual Retirement Annuity. An IRA allows you to make regular payments throughout your life and earn income in retirement. Contributions made to IRAs are not taxable.

Is physical gold allowed in an IRA.

Gold is money and not just paper currency. People have used gold as a currency for thousands of centuries to preserve their wealth and keep it safe from inflation. Investors today use gold to diversify their portfolios because gold is more resilient to financial turmoil.

Today, Americans prefer precious metals like silver and gold to stocks and bonds. Although owning gold does not guarantee that you will make money investing in it, there are many reasons to consider adding gold into your retirement portfolio.

One reason is that gold historically performs better than other assets during financial panics. The S&P 500 dropped 21 percent in the same time period, while gold prices rose by nearly 100 percent between August 2011-early 2013. During these turbulent market times, gold was among few assets that outperformed the stocks.

The best thing about gold investing is the fact that there's virtually no counterparty risk. Even if your stock portfolio is down, your shares are still yours. But if you own gold, its value will increase even if the company you invested in defaults on its debt.

Finally, gold is liquid. This allows you to sell your gold whenever you want, unlike many other investments. It makes sense to buy small quantities of gold, as it is more liquid than other investments. This allows you to take advantage of short-term fluctuations in the gold market.

What precious metals can you invest in for retirement?

These precious metals are among the most attractive investments. Both can be easily bought and sold, and have been around since forever. They are a great way to diversify your portfolio.

Gold: Gold is one of man's oldest forms of currency. It is also extremely safe and stable. It's a great way to protect wealth in times of uncertainty.

Silver: Silver has always been popular among investors. This is a great choice for people who want to avoid volatility. Silver is more volatile than gold. It tends to rise rather than fall.

Platinum: This precious metal is also becoming more popular. It is very durable and resistant against corrosion, much like silver and gold. It is however more expensive than its counterparts.

Rhodium: Rhodium can be used in catalytic convertors. It is also used as a jewelry material. It is also quite affordable compared with other types of precious metals.

Palladium (or Palladium): Palladium can be compared to platinum, but is much more common. It's also much more affordable. For these reasons, it's become a favorite among investors looking to add precious metals to their portfolios.


  • Contribution limits$6,000 (49 and under) $7,000 (50 and up)$6,000 (49 and under) $7,000 (50 and up)$58,000 or 25% of your annual compensation (whichever is smaller) (
  • The price of gold jumped 131 percent from late 2007 to September 2011, when it hit a high of $1,921 an ounce, according to the World Gold Council. (
  • Indeed, several financial advisers interviewed for this article suggest you invest 5 to 15 percent of your portfolio in gold, just in case. (
  • You can only purchase gold bars at least 99.5% purity. (
  • Gold is considered a collectible, and profits from a sale are taxed at a maximum rate of 28 percent. (

External Links

How To

Tips to Invest in Gold

Investing in Gold remains one of the most preferred investment strategies. There are many advantages to investing in Gold. There are many ways to invest gold. Some people prefer to buy gold coins in physical form, while others prefer to invest in gold ETFs.

You should consider some things before you decide to purchase any type of gold.

  • First, check to see if your country permits you to possess gold. If it is, you can move on. Or, you might consider buying gold overseas.
  • Secondly, you should know what kind of gold coin you want. There are many options for gold coins: yellow, white, and rose.
  • Third, consider the cost of gold. It is best to begin small and work your ways up. When purchasing gold, diversify your portfolio. Diversifying assets should include stocks, bonds real estate mutual funds and commodities.
  • You should also remember that gold prices can change often. It is important to stay up-to-date with the latest trends.


By: Kevin Helms
Title: SEC Investigates X Account Breach, Lawmakers Demand Answers
Sourced From:
Published Date: Fri, 12 Jan 2024 05:00:38 +0000

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