Squid game-inspired crypto token crashes at 99.99%, creators disappear with over $ 3 million

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Following the success of the South Korean survival drama series Squid Game, a cryptocurrency called “Squidgame Cash” or “SQUID”, dedicated to the TV miniseries, entered the crypto pool. The value of this token has plunged 99.99% in recent hours after the creators of SQUID managed to delay a classic “carpet draw”. It is a scam where the developers abandon the project and trick investors with their money. The crypto coin had seen a 300% growth in value on October 30, but lost its value by $ 2,800 (Rs 2 lakh) to its current price – which is $ 0.003347 (around Rs 0.25). .).

The crooks have allegedly raised around $ 3.3 million (roughly Rs 22 million) with this project, according to a report by Gizmodo.

Inspired by the survival series, an online version of the Squid game was released online, and to play the game, participants had to use the SQUID crypto token. Due to the popularity of the Netflix series, SQUID tokens have been received in the market with fireworks.

But concerns immediately arose about the legitimacy of this SQUID token, as only buying the cryptocurrency was allowed, but selling was not an option.

The SQUID token website that was registered on October 12, less than a month ago, is now gone.

“We have received several reports that the website and social media are no longer functional and users are unable to sell this token in Pancakeswap. Please exercise due diligence and exercise extreme caution. This project, although clearly inspired by the Netflix show of the same name, is not affiliated with the official IP, ”indicates a flashing banner on the CoinMarketCap.

While the crooks responsible for this crypto carpet draw remain unidentified for now, the development has created ripples on social media.

This is not the first time that a popular TV show has been misused to scam its fans by notorious cybercriminals.

Earlier this year, crooks targeted fans of Disney’s Mandalorian streaming show with a crypto token called “Mando” – which turned into a pump-and-dump scam, news portals had reported. at the time.

Earlier in April, a report found that total crypto crimes in 2020 amounted to around $ 10.52 billion (around Rs. 79,194 crore).

The same report also pointed out that scams and frauds have plagued the crypto space and are a major problem that accounted for 67.8% of total cryptocurrency crimes in 2020.

Analyst firm Chainalysis in a recent report revealed that at least $ 815 million (around Rs. 6,135 crore) was sent in crypto to defraud projects in Eastern European countries between July 2020 and June 2021.

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