Nick Drakon, the CEO of the cryptocurrency research and education platform Revelo Intel, has resigned from his position following a traumatic incident where he was coerced at gunpoint to transfer funds from his personal, company, and investor accounts.
Drakon disclosed in a post on September 5th that he was the victim of a sophisticated criminal group with a specific interest in cryptocurrency. The assailants were well-informed about the crypto business Drakon managed, knowing the exact deposit addresses. Under threat, Drakon was forced to access various crypto accounts and transfer significant amounts to the attackers. The stolen assets included his personal funds, Revelo’s operational capital, and investments managed by Revelo Ventures, the company’s investment arm.
Personal Threats and Security Concerns
The situation escalated with the criminals threatening Drakon’s wife and their eight-month-old son, adding a terrifying personal dimension to the robbery. Drakon mentioned there is some evidence suggesting possible inside involvement from individuals at Revelo Ventures, but he refrained from disclosing further details to avoid jeopardizing ongoing investigations and to protect his family from potential further harm.
In the aftermath, Vu Benson, previously the Chief Operating Officer, has been appointed as the new CEO of Revelo Intel. Drakon has taken decisive steps to address the financial damage caused by the incident:
- Forfeiture of Interests: Drakon relinquished his stake in Revelo to aid in compensating the affected members of Revelo Ventures.
- Profit Allocation Plan: Moving forward, 30% of the company’s profits will be allocated to the members who suffered financial losses due to the robbery.
Drakon also acknowledged his role in the events that led to the robbery, admitting to severe oversights that made him a target. He issued an apology to the members of Revelo Ventures who were financially impacted.
This incident is part of a disturbing trend of crimes targeting individuals in the cryptocurrency sector. For instance, a recent case in Ukraine involved the kidnap and murder of a foreign national, with thieves making off with $170,000 in Bitcoin. Cryptocurrency advocate Jameson Lopp has highlighted the dangers associated with public visibility in the crypto world. He advises against peer-to-peer trades without trust, flaunting wealth on social media, and wearing crypto-branded apparel, as these can attract criminal attention.
The robbery of Nick Drakon and subsequent changes at Revelo Intel underscore the unique vulnerabilities associated with managing substantial cryptocurrency assets. This event not only highlights the personal risks faced by individuals in this volatile industry but also the broader implications for corporate security and investor confidence.
Featured image credit: pch.vector via Freepik
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