Within days of launching, SQUID coin was shuttered and its creators made away with millions, suggesting it was a cryptocurrency scam known as a “rug pull.”

Rise in popularity: Although unaffiliated with the hit Korean Netflix show “Squid Game,” the cryptocurrency took advantage of its namesake’s popularity to convince more than 40,000 people to invest.

• The currency began at just $.01 per token and inflated 83,000% to reach a peak of $2,856.65 before ultimately crashing.
• The tokens were touted as the currency for a forthcoming “play-to-earn” online game reminiscent of the Netflix series which was promised to go live later in November.
• Some investors reported being taken in by the coin’s name, believing there was a relationship between the currency and the Netflix project.

Squid Game Crypto Coin Today…
1:35am: $38.19
2:35am: $89.91
3:35am: $93.64
4:35am: $434.70
5:35am: $2,856.64
5:40am: $0.0007926$SQUID pic.twitter.com/uN6walQRqC

— Charlie Bilello (@charliebilello) November 1, 2021

Rapid collapse: The currency is now worth $0 and its social media, website, and email are all now defunct, with the creators’ identities yet unknown.

• A red flag was raised early on by skeptics who noticed it was nearly impossible to sell the coin and cash out after purchasing.
• SQUID is now being labeled as a “rug pull,” referring to a scam in which the creators of a cryptocurrency cash out for real money and stop others from trading, effectively draining the currency of value.
• One Shanghai investor told CNBC he lost his entire life savings of $28,000 to the scam.

Experts warn that just because a new cryptocurrency bears the name of a popular show or trend, investors should not assume any affiliation.

Featured Image via Netflix / “Squid Game”