The cryptocurrency plunged to almost a fraction of a cent minutes after surpassing $2,850 at 09:35 UTC on Nov. 1. The deadly drop came at the back of a 75,000% bull run, highlighting the outrageous demand for SQUID among traders since it launched on Oct. 26.
Inspired by the popularity of the Squid Game series, the cyberpunks promoted SQUID as a play-to-earn cryptocurrency, just like in the movie where people risk their lives to play a series of children’s games for cash bounty.
This strategy helped push SQUID prices from $0.01 on Oct. 26 to over $38 on Sunday. It then spiked to $90 on Nov. 1, leading to a massive pumping round that forced its price further up over $2,850, only for it to plunge all the way down to $0.002 a few minutes later.
Prior to the massive crash, BTC PEERS reported that users were unable to sell their SQUID holdings on PancakeSwap, the only available market amid a 45,000% gain.
The SQUID founders stated in their defense that they had deployed an “anti-dumping technology” that limits people from selling their tokens against lower demand. The Squid Game whitepaper reads:
The Squid Game cryptocurrency founders claimed they were affiliated with the Netflix show as its official token partner. They also insisted that they had entered a strategic partnership with crypto data provider CoinGecko.
However, CoinGecko co-founder Bobby Ong refuted the claims in an interview, saying “[SQUID] did not meet our listing criteria; hence it will not be listed on CoinGecko. It’s most likely a scam.”
CoinGecko’s rival CoinMarketCap listed SQUID on its platform with a warning about the cryptocurrency’s dubious nature in a notice that read:
So far, it seems like the game is indeed over for SQUID holders, and the only winners are the malicious actors behind the project.
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Source: Cryptocurrency - investing.com
