Squid Game crypto token collapses in apparent scam

A digital token inspired by the popular South Korean Netflix series Squid Game has lost almost all of its value as it was revealed to be an apparent scam.

Squid, which marketed itself as a “play-to-earn cryptocurrency”, had seen its price soar in recent days – surging by thousands of per cent.

However, as the BBC reported, it was criticised for not allowing people to resell their tokens.

This kind of scam is commonly called a “rug pull” by crypto investors.

This happens when the promoter of a digital token draws in buyers, stops trading activity and makes off with the money raised from sales.

Squid’s developers have made off with an estimated $3.38m (£2.48m), according to technology website Gizmodo.

Source: https://www.bbc.com/news/business-59129466