In the wake of the Securities and Exchange Commission (SEC) .
The hack resulted in the posting of a single tweet from the compromised account, indicating that the SEC had approved exchange-traded funds (ETFs) for Bitcoin.
The tweet resulted in Bitcoin price jumping as high as $48,000 before falling 6%; The tweet was confirmed to be fake.
“Not following cybersecurity best practices”
US lawmakers are now demanding an investigation into the incident, stating that this breach could be a sign of other security weaknesses within the SEC that could lead to much more damaging breaches.
The bipartisan letter, written by Democratic Senator Ron Wyden and Republican Senator Cynthia Lummis, calls for the review as a result of the SEC's failure to implement two-factor authentication on the account at the time of the hack. The account was compromised because a person acquired a phone number related to the account and, as a result, was able to log into the agency's account.
The letter urged the SEC to “investigate the agency's practices related to the use of MFA, and in particular, phishing-resistant MFA, to identify any remaining security gaps that need to be addressed.”
Multi-factor authentication (MFA) has become an online account security standard, and MFA provides an additional layer of security by requiring a one-time passcode, digital token, or biometric authentication to access an account.
Through Reuters
