The "Squid Game" crypto coin SQUID ends up as a massive scam! Cybercriminals made approximately $3.38 million from victim investors.
In these last few months, the "Squid Game" hype influenced a lot of pop culture content on the internet. Fans saw many "Squid Game" news, pictures, toys, wallpapers, themes and even games. This is why fans thought the "Squid Game" cryptocurrency as another opportunity to have fun.
The "Squid Game" crypto promoted two key features. First is its "Squid Game Project," a crypto play-to-earn platform. The game will mimic its namesake series, including the six-game deathmatch rounds and prize pool money. Meaning, one winner in the game will earn a lot of cryptos.
The second feature is the game-exclusive crypto coin called SQUID. The coin started presales on October 20 and enjoyed a crazy market growth thereafter.
Red Flags Spotted: 'Squid Game' Scam Indicators
Some analysts thought the "Squid Game" cryptocurrency was an obvious scam because it had a lot of questionable details. Gizmodo listed some of these indicators as follows:
- SQUID crypto coin was too recent. Its cryptocurrency was launched last week, and its "official" website was only three weeks old.
- Most of its details were written unprofessionally. Both its whitepaper and website description are filled with bizarre spelling and grammatical errors.
- Its Telegram channel didn't allow comment from outsiders. Its Twitter account also blocked replies on its posts.
- Anyone who purchased the coin was unable to sell it. The issue continued throughout the whole scam.
- The crypto coin never "dipped." Crypto markets show rise and fall as an indication of ongoing and active trades. Conversely, SQUID consistently went up for five days straight and only dipped after the scammers stole the money.
At the time of writing, "Squid Game" crypto and all its social media pages were already taken down. Its website is currently unavailable. Its Twitter and Telegram accounts seemingly got deleted. An archived version of the website is available here.
It is worth noting that the crypto coin SQUID is still listed in CoinMarketCap. However, its trade value is now at $0.04, with a market cap of 0.54.
'Squid Game' Crypto Scam Steals $3.38 Million
According to The New York Times, "Squid Game" crypto trading was a roller-coaster ride. On Monday, the token's value grew from $628.33 to $2,856.65 in a span of 10 minutes. This is the highest peak the coin achieved before the scammers stole the money and dropped it to $0.0007.
Molly Jane Zuckerman, head of content at CoinMarketCap, called this strategy the Rug Pull. "This happens when the cryptocurrency's backers effectively leave the market and take their investors' funds with them," per New York Times.
Several investors lost a lot of money on this latest scam. This should serve as a clear warning for fans who enjoy the "Squid Game" culture. Investors are also advised to remember the indicators of scam strategies in cryptocurrency trading.
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