Squid Recreation crypto rug pull — why traders are additionally at fault

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Squid Recreation token was lured many traders into its fraudulent lair, seducing patrons with its buzzwordy identify impressed by the ultra-popular Netflix present. On its now-defunct official web site, the cryptocurrency’s builders falsely claimed to be companions with the streaming big in addition to Microsoft and OpenSea (an NFT market).As Squid Recreation token skyrocketed from 10 cents on Oct. 27 to a surprising $2,861 on Nov. 1, holders scrambled to promote the token. Sadly, many could not safe their income. The misleading builders bought their share of tokens and fled, sending the value plummeting to a near-worthless worth.The duplicitous builders, after all, are the primary perpetrators right here; what they did was heinous. Nonetheless, traders have to take some duty right here, too. All indicators had been pointing to, “it is a rip-off!”Squid Recreation token: Indicators of fraud had been glaringI usually get pleasure from checking the “Largest Gainers” checklist on CoinMarketCap, which includes a compilation of tokens which have the best progress inside the previous 24 hours.On Oct. 28, my jaw dropped once I noticed {that a} token referred to as Squid Recreation elevated by greater than 17,000% in someday. I used to be flabbergasted! The chart showcasing its value historical past, nonetheless, appeared extraordinarily fishy. It revealed that there have been only a few promote orders, which was odd. “The worth is skyrocketing, however individuals aren’t promoting? That is unusual,” I assumed. I then noticed a CoinMarketCap message that confirmed my suspicions: “We’ve acquired a number of reviews that customers aren’t in a position to promote [Squid Game] token in PancakeSwap. Please train warning whereas buying and selling!”Squid Recreation Token (Picture credit score: Squid Recreation Token)Now if that is not an enormous “One thing is flawed right here!” signal, I do not know what’s. I made a decision to examine Squid Recreation token’s official web page, and it was full of hogwash and deception.As talked about, the builders additionally claimed to have partnerships with Netflix, Microsoft, OpenSea and a number of other different firms. So far as I may inform, neither of those firms made an official announcement unveiling their shiny new Squid Recreation token.Squid Recreation Token (Picture credit score: Squid Recreation Token)The builders even added a “Members” part to the web site to make their crypto challenge appear legit, including that David Kanny, a person with a five-year tenure at Netflix, is the “CEO” of Squid Recreation token. A fast LinkedIn search exhibits that the entire staff part is fabricated.Squid Recreation Token (Picture credit score: Squid Recreation Token)The creators even claimed that Elon Musk shilled Squid Recreation token on Twitter, however after all, the Tesla CEO did nothing of the kind.2 issues to note of their homepage:- they’re utilizing precise present movies in right here (DMCA takedown incoming)- there is a mainly random reference to Elon Musk, although there’s by no means been express affiliation – when this occurs it is normally a rip-off pic.twitter.com/DY99HWfpInOctober 29, 2021See moreWhy Squid Recreation holders could not sellAs CoinMarketCap identified, the builders did not essentially block traders from promoting, however they did make the method maliciously tough. Here is the place issues get somewhat twisted — similar to the eponymous present. The creators really launched two tokens: Squid Recreation and Marbles.In an effort to promote Squid Recreation, holders should additionally accrue a cryptocurrency referred to as Marbles, which may solely be earned by enjoying the challenge’s play-to-earn recreation. The entry payment for first-time gamers is a whopping 456 SQUID. As such, if SQUID is valued at $1, one should shell out $456 to take part. When SQUID surged to  $2,861 on Monday, the entry payment would have been an eye-watering $1,304,616.Squid Recreation Token (Picture credit score: Squid Recreation Token)”This construction meant many individuals ended up trapped. For an opportunity of getting their a reimbursement, they would wish to have a steadiness of a minimum of 456 SQUID, which in some instances was vastly greater than their preliminary funding,” CoinMarketCap stated.If the holders performed the sport and failed a degree, they’d lose their 456 SQUID. Traders solely had two decisions: settle for the truth that they can not promote or doubtlessly dig themselves into an even bigger gap.After hitting an all-time excessive of $2,861 at 5:35 a.m. ET on Nov. 1, the value dropped to a devastating $0.0007926 5 minutes later. The creators fled with their tokens, leaving traders excessive and dry. Nonetheless, I can not assist however really feel baffled as to how so many traders missed the indicators. $squid recreation token stay crash from 3k to nothing 🔻🔻📈📈🥶$squid $token #SquidGames #memecoin pic.twitter.com/M06VEmO8FzNovember 1, 2021See moreWith a fast Google search, one can simply debunk most of the web site’s false claims, together with the token’s supposed affiliation with Netflix and Microsoft. Secondly, CoinMarketCap (a well-liked vacation spot for traders who want perception into a particular cryptocurrency) introduced that SQUID homeowners could not promote. Lastly, the white paper (a doc that outlines a token’s mission) is full of misspellings and grammar errors — a telltale signal that one thing is amiss.It is easy to get swept up into the thrill of a model new token that bears the identical identify because the hit Netflix present, however this Squid Recreation token saga is a cautionary story about what may doubtlessly occur in the event you blindly buy cryptocurrencies sans researching them.Squid Recreation token is not the one cryptocurrency that used a well-liked present to lure victims into its lair. Early this 12 months, a rip-off token referred to as Mando, impressed by Disney’s The Mandalorian, additionally seduced followers into its entice.Right now’s greatest Squid Recreation offers



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