In late 2021, scammers turned the global hype around Netflix’s Squid Game into a crypto nightmare. By launching the Squid Game Token (SQUID), they exploited public interest to steal $3.3 million in a textbook rug pull.

🚨 What Happened?

  • Scammers launched SQUID in October 2021, promising a play-to-earn gaming platform inspired by the hit show.

  • SQUID skyrocketed from pennies to $2,860 within weeks, driven by media buzz and FOMO.

  • On November 1, 2021, the price crashed to zero as the scammers disappeared, leaving investors with nothing.

💡 How They Tricked Investors:

  • Marketing implied a connection to Netflix and Squid Game, though none existed.

  • Investors could buy but not sell tokens, masked as a game feature requiring additional purchases of “marbles.”

  • FOMO, rising prices, and promises of massive returns kept investors hooked despite clear red flags.

🚩 Missed Warning Signs:

  • No official tie to Netflix or Squid Game.

  • A poorly designed website with grammatical errors.

  • Restricted selling, a classic rug-pull tactic.

📉 Lessons Learned:

  • Do Your Homework: Always verify claims of affiliation with major brands or projects.

  • Beware of Selling Restrictions: Tokens you can’t sell are a glaring red flag.

  • Anonymous Teams: Extra scrutiny is crucial when a project’s creators hide their identities.

🛡️ Avoiding Future Scams:

This event is a cautionary tale for all investors. Don’t let cultural excitement cloud your judgment, and always prioritize due diligence over hype.

📢 What Do You Think?

Have scams like this affected your crypto journey? Share your insights in the comments below.

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