A Squid Game-themed cryptocurrency crashed on Monday in what appeared to be a deliberate act, falling from a high of around € 2,400 to a fraction of a cent within minutes.
The SQUID token, which has no official link to the hit Netflix drama, was launched last week with the promise of an online game and a large prize pool.
The project claimed that players who bought the token could participate in a game inspired by the Korean show where desperate people risk their deaths to win a big cash prize.
However, the promised game never came about. On Monday, the project’s website and social media accounts were deleted as the token’s value crashed.
A crypto wallet connected to the creators of SQUID appeared to have paid out the token worth almost 3 million euros via a transaction anonymization service according to publicly available data on Sunday and Monday.
For this reason, Euronews Next was unable to contact the creators of the project.
This type of scam – known as “rug pull” – occurs when the creators of a project disappear along with the money received from investors.
In the case of SQUID, buyers found that once they bought the tokens, they could no longer sell them, making their money vulnerable to Monday’s crash.
On October 26th, the day the token was launched, SQUID was worth around € 0.01. On Friday it had reached € 6.73.
On Monday at 10:35 a.m. CET, the token briefly reached its high of € 2,471.98. Five minutes later, it had lost almost all of its value, dropping to just € 0.00068.