An unofficial Squid Game cryptocurrency called SQUID was launched and was gone in less than a month. Its creators, whose identities are unknown, have pulled the rug out from under potential investors after pocketing about $ 3.38 million.
The crypto coin SQUID was not officially affiliated with Squid Game, the popular Netflix show that debuted on September 17th. Anyone who has visited their (now defunct) squidgame.cash or read their Twitter (also dead) and bought SQUID was unable to sell it on the Pancakeswap cryptocurrency exchange, even though its value fell from $ 38 to $ 2,861.80 in one week.
Despite the non-affiliation, the concept of the play was inspired by the content of the show. As detailed in SQUID’s white paper, which is essentially a rulebook, an “anti-dumping mechanism” was put in place which required you to obtain “Marble” tokens via a game to win in order to sell your SQUID coins.
This lock on the sale of SQUID coins allowed its creators, who could not be identified further than the photos on the website, to abandon the project, citing hacking attempts, taking all the money and inflate the value of the coin. According to New York Times, people who still own the token can now sell it at its tiny value even without âMarblesâ.
In other words, everyone but a few strangers lost. Kind of like the show it’s based on.
A moderator’s post on the official SQUID Telegram The string reads: “Someone is trying to hack our project these days. Not only the @GoGoSquidGame Twitter account but also our smart contract. We are trying to protect it but the price is still abnormal. Squid Game Dev does not. not want to continue running the project because we are depressed by the crooks and [are] overwhelmed by stress. We need to remove all restrictions and trading rules from Squid Game. Squid Game will enter a new stage of community autonomy. “
In order for SQUID to work, the creators promised that the coin would be used to play a game based on the series. This game, which has never been released, was slated to enter beta and then release this month, again, apparently without Netflix approval. The white paper is not clear on how the game works and how you might earn marbles in order to sell your SQUID coins. âGetting marbles without resorting to violence is the key to the Squid game,â that’s all it says.
The article cites the blockchain mobile game Infinite Axis and his âSmooth Love Potionâ tokens as inspiration for his game. Axie Infinity works like PokÃ©mon Go, where you fight with a team of three âAxiesâ that you have to buy as NFT to be able to play. With each “Axie” sold, the developer makes a 4.25% cut. Players can earn “Smooth Love Potions” through daily quests to reproduce (developers also take a share) “Axies” in addition to NFT, hence “play-to-earn”. As more and more people buy and sell both “Axies”, which also allow you to vote on game development decisions, and “Smooth Love Potions”, the value increases and creators are making more and more money. Presumably, the SQUID coin game would require a number of these to play and then you could earn âmarblesâ to sell them for real money.
SQUID also included NFTs that showcased the art of the characters and guards from the series. As with everything else, they disappeared from the NFT OpenSea market as soon as everything stopped.
Scams like these are becoming common in the crypto space. We’ve seen groups like the FaZe clan suspend their own members for some misguided cryptocurrency that has plummeted in value within days. We also saw the creator of the much-publicized NFT project Evolved Apes make peace after a week and take around $ 2.7 million of ether. Faced with these problems, massive companies like Ubisoft and even Mcdonalds are getting into cryptocurrency and NFTs. It looks like if something you love is big enough, it will be turned into a cryptocurrency and has the potential to collapse at any point.