Lawmakers Demand 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. This breach resulted in a false tweet being sent out on January 9, announcing the approval of bitcoin exchange-traded funds (ETFs). The letter was signed by the Chairman of the House Financial Services Committee, Patrick McHenry, along with other committee chairmen.
SEC's Ability to Communicate with Market Participants Questioned
In the letter, the lawmakers expressed concern about the SEC's ability to fulfill its mission of protecting investors and maintaining fair markets. They highlighted the fact that the SEC account did not have two-factor authentication enabled and that an unidentified individual gained control of a phone number associated with the account. The lawmakers emphasized that this failure is unacceptable and called on the SEC to provide a briefing to Committee staff to understand how the breach occurred and how it will be prevented in the future.
SEC's Confirmation and Response
Following the incident, X confirmed that the SEC's account was compromised. They clarified that the breach was not due to any fault in their systems but rather due to an individual obtaining control of a phone number associated with the @SECGov account through a third party. X also confirmed that two-factor authentication was not enabled at the time of the breach and encouraged all users to enable this security measure.
The SEC issued a statement acknowledging the breach and stated that they will work with law enforcement and government partners to investigate the matter and take appropriate action.
Lawmakers Express Displeasure and Demand Accountability
Several other lawmakers expressed their dissatisfaction with the SEC and Chair Gensler following the incident. Senator J. D. Vance described the SEC's mistake as "colossal" and demanded an explanation. Senator Bill Hagerty stated that Congress needs answers and emphasized that accountability should be demanded from the SEC, just as they would from a public company. Senator Cynthia Lummis highlighted the potential market manipulation caused by fraudulent announcements and called for transparency regarding the incident.
The compromise of the SEC's X account and the subsequent fake tweet about the approval of spot bitcoin ETFs have raised concerns among lawmakers. The SEC is now under scrutiny, and Chair Gensler has been called upon to provide answers regarding the breach. It remains to be seen how the SEC will address this issue and strengthen its security measures to prevent similar incidents in the future.
What are your thoughts on the SEC's compromised account and the false tweet about bitcoin ETFs? Share your opinions in the comments section below.
Frequently Asked Questions
Should you open a Precious Metal IRA
Precious metals are not insured. This is the most important fact to know before you open an IRA account. There is no way to recover money that you have invested in precious metals. This includes any loss of investments from theft, fire, flood or other circumstances.
Investing in physical gold and silver coins is the best way to protect yourself from this type of loss. These items can be lost because they have real value and have been around for thousands years. They are likely to fetch more today than the price you paid for them in their original form.
When opening an IRA account, make sure you choose a reputable company offering competitive rates and high-quality products. It's also wise to consider using a third-party custodian who will keep your assets safe while giving you access to them anytime.
You won't get any returns until you retire if you open an account. Keep your eyes open for the future.
Is gold a good investment IRA option?
If you are looking for a way to save money, gold is a great investment. It is also an excellent way to diversify you portfolio. But there is more to gold than meets the eye.
It has been used as a currency throughout history and is still a popular method of payment. It's sometimes called “the world's oldest money”.
Gold, unlike other paper currencies created by governments is mined directly from the earth. It's hard to find and very rare, making it extremely valuable.
Gold prices fluctuate based on demand and supply. The strength of the economy means people spend more, and so, there is less demand for gold. This results in gold prices rising.
On the flip side, when the economy slows down, people hoard cash instead of spending it. This leads to more gold being produced which decreases its value.
This is why investing in gold makes sense for individuals and businesses. If you invest in gold, you'll benefit whenever the economy grows.
Your investments will also generate interest, which can help you increase your wealth. Plus, you won't lose money if the value of gold drops.
Can I have physical gold in my IRA
Gold is money and not just paper currency. People have been using gold for thousands of years to store their wealth and protect it from economic instability and inflation. Today, investors invest in gold as part a diversified portfolio. This is because gold tends do better in financial turmoil.
Many Americans now invest in precious metals. 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. Between August 2011 to early 2013, gold prices rose close to 100 percent while the S&P 500 fell 21 per cent. Gold was one of the few assets that performed better than stocks during turbulent market conditions.
One of the best things about investing in gold is its virtually zero counterparty risk. Your shares will still be yours even if your stock portfolio drops. Gold can be worth more than its investment in a company that defaults on its obligations.
Finally, gold offers liquidity. 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 one to take advantage short-term fluctuations within the gold price.
Can the government seize your gold?
Your gold is yours, so the government cannot confiscate it. You have earned it by working hard for it. It belongs to your. There may be exceptions to this rule. If you are convicted of fraud against the federal government, your gold can be forfeit. Also, if you owe taxes to the IRS, you can lose your precious metals. However, even though your taxes have not been paid, you can still keep your precious metals, even though they are considered the property of United States Government.
Should You Buy or Sell Gold?
In the past, gold was considered a haven for investors during economic turmoil. Many people today are moving away from stocks and bonds to look at precious metals, such as gold, as a way to diversify their investments.
Although gold prices have shown an upward trend in recent years, they are still relatively low when compared to other commodities like oil and silver.
Experts believe this could change soon. They believe gold prices could increase dramatically if there is another global financial crises.
They also note that gold is increasingly popular because of its perceived intrinsic value and potential return.
Here are some things to consider if you're considering investing in gold.
- Before you start saving money for retirement, think about whether you really need it. You can save money for retirement even if you don't invest in gold. That said, gold does provide an additional layer of protection when you reach retirement age.
- Second, be sure to understand your obligations before you purchase gold. Each offers varying levels of flexibility and security.
- Finally, remember that gold doesn't offer the same level of safety as a bank account. If you lose your gold coins, you may never recover them.
So, if you're thinking about buying gold, make sure you do your research first. Make sure to protect any gold you already own.
- (Basically, if your GDP grows by 2%, you need miners to dig 2% more gold out of the ground every year to keep prices steady.) (smartasset.com)
- If you accidentally make an improper transaction, the IRS will disallow it and count it as a withdrawal, so you would owe income tax on the item's value and, if you are younger than 59 ½, an additional 10% early withdrawal penalty. (forbes.com)
- Instead, the economy improved, stocks rebounded, and gold plunged, losing 28 percent of its value in 2013. (aarp.org)
- 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) (lendedu.com)
- If you take distributions before hitting 59.5, you'll owe a 10% penalty on the amount withdrawn. (lendedu.com)
- Gold IRA: Add Some Sparkle To Your Retirement Nest Egg
- Understanding China's Evergrande Crisis – Forbes Advisor
- Saddam Hussein's InvasionHelped Uncage a Bear in 1990 – WSJ
- You want to keep gold in your IRA at home? It's not legal – WSJ
Investing with gold or stocks
Investing in gold as an investment vehicle might seem like a very risky proposition these days. The reason behind this is that many people believe that gold is no longer profitable to invest in. This belief stems from the fact that most people see gold prices being driven down by the global economy. They think that they would lose money if they invested in gold. However, investing in gold can still provide significant benefits. Below are some of them.
One of the oldest currencies known to man is gold. It has been in use for thousands of year. People around the world have used it as a store of value. It's still used by countries like South Africa as a method of payment.
Consider the price per gram when you decide whether you should invest in or not. When looking into buying gold bullion, you must decide how much you are willing to spend per gram. You could contact a local jeweler to find out what their current market rate is.
It's worth noting, however, that while gold prices have fallen recently the cost of producing gold is on the rise. The price of gold may have fallen, but the production costs haven’t.
You should also consider the amount of your intended purchase when considering whether you should buy or not. It is sensible to avoid buying gold if you are only looking to cover the wedding rings. But, if your goal is to make long-term investments in gold, this might be worth considering. Selling your gold at a higher value than what you bought can help you make money.
We hope you have gained a better understanding about gold as an investment tool. It is important to research all options before you make any decision. Only after you have done this can you make an informed choice.
By: Kevin Helms
Title: SEC Investigates X Account Breach, Lawmakers Demand Answers
Sourced From: news.bitcoin.com/us-lawmakers-slam-sec-over-fake-bitcoin-etf-tweet-say-this-failure-is-unacceptable/
Published Date: Fri, 12 Jan 2024 05:00:38 +0000