New cryptocurrency token Squid sparks interest in millennial traders – but is it legit?

Squid is a new cryptocurrency token named after a South Korean drama series being featured on Netflix. This Korean drama series was created by Hwang Dong Hyuk and was launched on September 17, 2021. The drama series revolves around 456 players, all of whom were in great financial debt. Ultimately, the players decided to participate in children’s games with the hope of winning a ₩45.6 billion prize.  This drama series received international attention thanks to over 142 million households that watched through Netflix.

When the token Squid was launched it served as a start guide for the traders to gain an interest in the crypto world among millennial traders who had watched the episodes on Netflix. Playing  the game is the main reason behind the launching of the token, a player is in need to have Squid crypto tokens to play the game.  Thus, it is estimated that the token’s developers have received more than $3.4 million from the public.

But a month after launching the token red flags started emerging, and there were concerns about the currency’s legitimacy. Some of the tell-tale signs that the token was a scam included the fact that traders were only allowed to buy the unit and not allowed to sell it. By October 12, the token’s website was rendered defunct. Another reason that made the project look like a scam is that Squid Game token hit a high of $2,860 before plummeting to the current price of 0.01. By that time, the creators had pocketed $3.4 million in invested funds. Another thing is that the token was appreciated faster than currencies that are backed by-products. More research established that the token founders were not on LinkedIn.

Just like any other cryptocurrencies, Squid, which initially generated great interest among traders, is headed to its deathbed. Squid token developers posted on the Telegram channel with more than 89,000 members saying that they did not want to continue with the project. They lamented that they were overwhelmed with stress and depressed.

As an addition to its dead end, the token’s website and white paper have disappeared when the emails of CNBC were sent to the address listed on their website have not been answered. Also Twitter has temporarily restricted the token’s account due to suspicious activities.

The token’s brief journey

When the media began its hype about the token, it was already trading at 4 cents. After some time, the price further appreciated to $1 before moving to $10 in a very short period. Such drastic price movement was a warning that all was not well, so traders needed to exercise caution.

The millennial traders who have lost their funds are blaming the media for the debacle. According to them, because of the media’s a lot of airtime to the coin they thought it was an endorsement. As a result, traders who fear missing out rush into buying such tokens.

Conclusion

In the Squid Game project, online gamers are in need to buy the tokens to enable them to participate in an online game which would allow them to earn points to enable them to participate in a grand draw in November. According to the company’s website, 10 percent of the entry fee was sent to the tokens developer, while 90% would be pooled together and awarded to the final winner. Unfortunately, the cryptocurrency token Squid appears to be another rip off. Let’s keep our fingers crossed and see what will happen.

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