Adrian Johnson
U.S. Senator Katie Britt has expressed concerns about the recent hack of the U.S. Securities and Exchange Commission’s official account on Twitter. The hack led to a significant market disruption due to false information regarding the approval of Bitcoin exchange-traded funds. Senator Britt believes that this incident highlights the need for the SEC to prioritize cybersecurity and withdraw certain rulemakings that pose risks to Americans’ personal information.
In response to the hack, Senator Britt called for answers and stated that the SEC needs to take cybersecurity seriously. She specifically mentioned the need to withdraw the Consolidated Audit Trail and cyber disclosure rules. The incident occurred on January 9th, 2024, when the SEC’s official account announced the approval of Bitcoin ETFs, which caused a spike in the price of Bitcoin. However, the SEC retracted the statement and confirmed the approval less than 24 hours later.
Senator Britt believes that this incident revealed weaknesses in the SEC’s cybersecurity measures, especially as the agency is collecting more sensitive personal information from investors. She, along with Senator John Kennedy, previously sent a letter requesting an investigation into potential risks and privacy concerns related to the SEC’s Consolidated Audit Trail. Senator Britt is also a cosponsor of the Protecting Investors’ Personally Identifiable Information Act, which aims to prohibit the SEC from requiring brokers to submit investors’ personally identifiable information.
In addition, Senator Britt expressed concerns about the SEC’s new rule on cybersecurity disclosures, stating that it creates an onerous and inflexible reporting regime. She believes that the rule hinders firms’ ability to react to cyberattacks and events, potentially compromising market safety and national security.
