The PhanincSecurities and Exchange Commission's verified X account was compromised on Tuesday, with a post going out that said the regulator had approved a bitcoin exchange-traded fund.

The "unauthorized" post on the platform went out just after 4 p.m. ET. Soon after, SEC Chairman Gary Gensler said on X that, "The SEC has not approved the listing and trading of spot bitcoin exchange-traded products."

"The SEC will work with law enforcement and our partners across government to investigate the matter and determine appropriate next steps relating to both the unauthorized access and any related misconduct," a SEC spokesperson told CNBC.

Experts have anticipated that the SEC will approve an exchange-traded fund (ETF) for the cryptocurrency, and a decision is expected this week. Multiple asset managers have filed applications to create bitcoin ETFs, according to CNBC.

Fake post spikes Bitcoin price, raises security concerns

The fake post spiked the value of the cryptocurrency from around $46,730 to just under $48,000. After the regulator clarified the nature of the post, the price dropped to around $45,200.

The hack also raised security concerns for both the SEC and for X.

"Just like the SEC would demand accountability from a public company if they made a colossal market-moving mistake, Congress needs answers on what just happened," Sen. Bill Hagerty, R-Tennessee, who sits on the Senate Banking Committee, told the Associated Press.

Consumer watchdogs have pointed to a drop in security standards since Elon Musk took over the social media platform.

"This has to be the most sophisticated use of a stolen Twitter account ever,” Alex Stamos, chief trust officer at SentinelOne and former security chief at Meta Platforms Inc., told Bloomberg. “At a minimum, this indicates that the hollowed-out X team can’t keep up with advances in account takeover techniques."