A cryptocurrency inspired by Netflix's global hit South Korean series Squid Game has lost all of its value in what is likely to have been a 'rug pull' scam.
Squid Game Token Loses All Value
Ironically, in the dystopian series, players are gambling with their lives for a better financial future, but little did the traders know that they will be victims of some scammer gambling with their money.
After surging to an all-time high above $2,860 on Monday evening, SQUID, which was launched last Tuesday, collapsed to effectively zero in the blink of an eye after its unknown creators cleaned out $3.3 million, according to the transactions records.
SQUID, which marketed itself as a "play-to-earn cryptocurrency", is the only token that can be used to play the online version of Squid Game created by gamers. Players need to buy SQUID tokens to participate in a game or get a restart after they fail in the game.
A couple of days ago, CoinmarketCap has issued a warning that traders were no longer able to sell their SQUID tokens. This scam is known as a “rug pull” by crypto investors, in which developers of a token abandon their project suddenly, pockting their investors’ funds with them.
Soon after the price collapse, its website and white paper have also been wiped out from the Internet. While the 57,000 followers official Twitter account for the Squid Game token has been restricted because of “unusual activity.”
