Revelo Intel CEO Resigns Following Gunpoint Crypto Robbery That Leads to Funds Loss

CEO Resigns After Gunpoint Crypto Heist

Nick Drakon, CEO of Revelo Intel, has resigned following a harrowing incident in which he was held at gunpoint and forced to transfer substantial sums of both personal and company funds.

On September 5, Drakon disclosed the shocking details on X, revealing that he was targeted by a sophisticated group that specifically sought out his crypto assets.

The attackers, who were evidently well-informed, knew the deposit addresses associated with his various crypto ventures.

Drakon was coerced into accessing multiple cryptocurrency accounts under duress, resulting in the theft of his personal funds, Revelo Intel’s working capital, retained earnings, and assets from Revelo Ventures, the company’s investment arm.

He described the incident as “a highly sophisticated operation” in which the robbers not only seized financial assets but also threatened his family, including his wife and eight-month-old son.

Drakon elaborated on the situation,

“The group was specifically interested in crypto assets and knew the deposit addresses belonging to the crypto businesses I operate”.

Potential Inside Involvement

Adding to the gravity of the situation, Drakon mentioned that there is “some evidence” suggesting potential involvement or information leakage from within Revelo Ventures.

Despite this, he chose to withhold further details to avoid compromising the ongoing investigation and to safeguard his family’s security.

He noted, emphasising his decision to protect the investigation's integrity,

“There is some evidence to suggest that someone in the Ventures syndicate is either part of the group, or passing information onto them.”

Leadership Transition and Recovery Plan

In the wake of this crisis, former COO Vu Benson will step into the role of CEO at Revelo Intel.

Drakon has relinquished his interest in the company and committed to compensating affected members.

He has pledged that 30% of Revelo’s profits will be directed towards those impacted by the theft.

Additionally, Drakon has apologised for the errors that made him a target, expressing regret for the security lapses that led to the robbery.

He remains focused on assisting law enforcement with the recovery of the stolen assets.

Broader Implications and Security Warnings

This incident follows a recent crime in Ukraine, where four suspects allegedly kidnapped and murdered a foreign national, stealing $170,000 worth of Bitcoin in the process.

Bitcoin cypherpunk Jameson Lopp has advised caution, emphasising that criminals often identify victims through social media, meetups, and conferences.

Lopp advocates against flaunting wealth or engaging in peer-to-peer trades with untrusted individuals, noting that such behaviour can increase vulnerability to similar threats.

Escalation of Crypto Scams

The rise in crypto-related crime is reflected in broader scam statistics.

In the first half of 2024, over 50,000 investment fraud cases were reported, costing victims nearly $2.5 billion.

This trend mirrors the record-breaking figures of 2023, which saw 111,000 fraud cases involving $4.8 billion in damages.

Cryptocurrency fraud remains a significant concern, with scammers amassing $679 million in the first half of 2024 alone, making it the second most lucrative payment method after bank transfers.

Social media was a primary conduit for contacting victims, accounting for 45% of reported scams in the first half of 2024.

Drakon has also advised,

If you are someone who is known to control large sums of money, you are a target and it is not difficult at all to get to you. I urge you all to spend some time evaluating your exposure and recalibrating how you operate.

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Nick Drakon’s full post on X:

It’s been almost 4 years since I entered the crypto space as a somewhat “public figure” and my time here has been mostly fantastic. I have met hundreds of interesting and kind people, some of whom I now consider great friends.

My interactions with 99.5% of folks in the crypto industry have been overwhelmingly positive and productive. It’s been a pleasure to have chatted with some of you online, met some of you in person as well as doing business with some of you.

There is a dark side to this industry though which is quite sinister. Anonymous bad actors operating in the shadows are constantly waiting for opportunities to inflict pain and suffering while enriching themselves.

I was recently targeted, surveilled and robbed by a highly sophisticated group. This was an in person attack where my wife and 8 month old son were threatened.

The group was specifically interested in crypto assets and knew the deposit addresses belonging to the crypto businesses I operate. I was forced, at gunpoint, to log into a number of crypto accounts and transfer funds out.

The funds stolen comprised personal funds, Revelo Intel working capital & retained earnings, as well as Revelo Ventures (an investment syndicate) funds for deals awaiting settlement.

The vast majority of stolen funds belonged to me personally. There is some evidence to suggest that someone in the Ventures syndicate is either part of the group, or passing information onto them.

Disclosing further details publicly about the attack will hinder the efforts of the investigation and may potentially put my family at further risk, so I will not be doing so.

I made a serious of severe mistakes in operating that business from a number of various perspectives. The mistakes compounded which increased the risks involved unnecessarily and potentially led to me becoming a target. These mistakes are unacceptable for someone in my position to make.

I own those mistakes and will regret making them for the rest of my life. I am devastated that some Revelo Ventures members lost money.

My focus right now is ensuring the safety of my family, assisting law enforcement apprehend the culprits and to facilitate recovery or payback of funds to Ventures members.

I have stepped down as CEO of @ReveloIntel with @Vu_Benson taking the role of leading that business.

He is a stellar executive that has driven success since the very beginning. He is showing character and courage by stepping into this role during a chaotic time and I encourage you all to support both him and Revelo Intel.

I have full confidence in his ability to continue to grow that business and facilitate the payback of stolen funds.

In order to facilitate the return of some money back to members as quickly as possible, I have forfeited all of my interest in Revelo Intel. To be clear, I have zero financial interest in Revelo moving forward.

Vu will direct 30% of all profits generated directly to the affected members.

There is a very small group of people who will suggest I am a scammer and all of this was an elaborate hoax to steal money or that i lost it all gambling/trading. They do not possess a shred of evidence suggesting that is the case and are using my lack of disclosure about the attack and a sign of shady behavior.

The toxicity of this space is usually on full display when there is a hint of scandal and drama. I guess this comes with the territory, especially when ppl lose money. I get it. I am a big boy and can handle it.

My advice to those of you who are doxxed, go to conferences and meet folks in person is that you are underestimating surface area of risk as it relates to in person attacks.

If you are someone who is known to control large sums of money, you are a target and it is not difficult at all to get to you. I urge you all to spend some time evaluating your exposure and recalibrating how you operate.

I am stepping away from 'public life' in this space and will evaluate what happens next with my family.

Good luck and stay in motion.