2 years ago
114 Digital token Squid, an inspiration from the popular South Korean Netflix Squid Game, has lost almost all its value.
However, it appears that the cryptocurrency was deliberately launched as a means to defraud investors. It rode on the popularity of the Netflix Series to gain nearly 45,000% to $4.42 only 72 hours after it was launched.
$3 Million Worth Of Investors’ Wealth Gone
The token fell by 99% to nearly zero from an all-time high of $2,861 within 24 hours, wiping away over $3 million worth of investors’ wealth.
The cryptocurrency started trading early last week at a price of just 1 penny per token. Days later, several media outlets gave it publicity, which catapulted the price of the crypto asset to $38 within a week.
And within a short span of hours, the token grew to $2,856 per coin, according to crypto data tracking firm, CoinMarketCap.
Blockchain search engine and analytics platform, BscScan noted that more than 40,000 people still held the token after the crash. John Lee, one of the affected investors, stated that he had put $1,000 into the token thinking that it has been legally authorized by the Netflix show.
However, when he decided to sell the token when the price was still high, Lee said he wasn’t able to sell it on the platform. He added that the price has dropped to nearly nothing, so selling it now may not make any difference.
Identities Of The Creators Still Unknown
It wasn’t clear why Squid collapsed so suddenly. The identities of its developers or creators are also not known, as no one or organization has come out to claim to be the creator of the token.
The website created for the token is offline. Additionally, its social media account seems to have been shut down while emails sent to its supposed developers keep bouncing back.
Pancakescap, which listed the token for trade, has been contacted for comment about the situation, but it has not responded to the request.
The developers even added Microsoft, Coingecko, and Microsoft as one of their partners, but it was confirmed that none of these firms have links with them.
