Squid Game cryptocurrency: Investors ‘scammed’ by Squid Game crypto – what happened, price and rug pull meaning

Ever since Netflix's Korean survival series Squid Game became the platform's most successful original drama debut, the show has been immortalized in Halloween memes and costumes, but also in cryptocurrency.

A cryptocurrency from Squid Game mysteriously appeared in late October and saw its price skyrocket to over $ 2,000 in a matter of hours after investors raised the price to very high levels.

But investors quickly found themselves stuck with the Squid Game tokens, unable to sell them on the PancakeSwap exchange, as the price spiked rapidly before dropping to $ 0 in a matter of minutes, as the developers behind the coin deleted the accounts. of social networks and your website.

Here's what the controversial Squid Game cryptocurrency is, the price it rose to before its big crash, and what happened.

The Squid Game cryptocurrency, marketed as Squid, was launched as the cryptocurrency of a crypto gaming platform to win called 'Project Squid Game' which pays tribute to the hit Netflix series.

"The Squid Game project is a cryptocurrency game to gain platform on the BSC network inspired by the hit Korean series on Netflix about a deadly game tournament for children," says the official Telegram channel of the project with almost 90,000 members, but none You can respond to founder posts through channels.

Apparently scheduled to be revealed in November, according to CNBC, the Squid Game project has promised to allow gamers to compete in a virtual simulation of the games featured in the notoriously violent and tense survival series, except without a deadly resource, Limit On. the number of players. or prize money, which on the Netflix show is about 45.6 billion won (~ $ 38.7 million).

The Squid cryptocurrency was also reported to be used as the official currency of this project, with participants having to pay entry fees. NFT of characters and more exclusively with the Squid Game currency.

It was built on the Binance Smart Chain blockchain network managed by crypto exchange Binance, which supports smart contracts that allow developers to create their own decentralized applications with access to Ethereum tools and manage crypto assets with reduced latency.

BSC runs in parallel to the normal Binance Chain network.

Squid Game cryptocurrency Twitter account @GoGoSquidGame refers to the Netflix first episode of the show, known as 'Red Light, Green Light' in English, which reads:

"The Mugunghwa flower has blossomed.

"Are you ready to participate in the Crypto Squid Game on BSC Chain?"

Trading on cryptocurrency exchange PancakeSwap, Squid was up nearly 2,400% on Thursday, October 28.

As of October 28, Squid was already up nearly 2,400% in the previous 24 hours as meme and alt coins like the Shiba Inu coin enjoyed an explosion in popularity with investors.

Between Sunday, October 31 and Monday, November 1, squid prices continued to climb from $ 38 to more than three times higher than Monday morning, as investors complained that they could not sell the cryptocurrency and were They were forced to keep o 'hodl' before a huge price. bomb on Monday.

On Monday morning, the Squid Game token had soared from $ 91.34 at 7:20 AM. M. A $ 2,856.64 at 9:35 a.m. M.

But in ten minutes, at roughly 9.44am, Squid's value plummeted to just $ 0.0008329 in value and continued to decline thereafter.

The coin saw its price drop by 99.99% on Monday morning, and the cryptocurrency is currently trading at $ 0.003359 as of 4:25 p.m. M. From Tuesday.

Such a sudden drop, combined with the disappearance of the 'Squid Game project' website and some social media channels, has led many to conclude that the company can easily be identified as a scam.

The creators have posted on their official Telegram channel that "someone is trying to hack our project," claiming that both the project's Twitter account and the smart contract have been hacked, resulting in an "abnormal price" for the project. Squid coin.

But many cryptanalysts and experts have dismissed this, with the coin's 'carpet pull', its promotional materials, and the closed nature of its communications indicating that the cryptocurrency was showing signs of a scam that should have been recognized in earlier stages of reports from major media.

The alleged crypto scam appears to reflect the grim reality of the world savagely depicted on the official Netflix series, with contestants trying to escape cycles of debt and poverty by fighting to the death with fellow contestants for money and the entertainment of the wealthiest members of the society.

The crypto data platform, CoinMarketCap, has been displaying a message on its Squid Game cryptocurrency page warning users about investing in the currency it warns of "growing evidence that this project has been difficult."

The alert reads: “We have received multiple reports that the website and social media are no longer working and users are unable to sell this token on Pancakeswap.

“There is growing evidence that this project has been difficult.

"Please do your own due diligence and be extremely cautious.

"This project, while clearly inspired by the Netflix show of the same name, is NOT affiliated with the official IP.

The term 'robust' or 'rug pull' is one that is used in crypto to describe when a coin or coin suddenly has its support removed or is removed from a decentralized asset or cryptocurrency without warning.

It is a tactic that is routinely implemented in crypto scams, allowing developers to abandon their product and simply take investor funds without recourse.

These can be seen more commonly on decentralized exchanges where cryptocurrencies can be listed more easily and without the supervision or audits present on centralized exchanges like Coinbase.

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