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- After the release of “Squid Game” Season 2, a number of fake tokens pointing to the series appeared on decentralized exchanges.
- Many of these tokens were launched on the Solana network and lost 99% of their value shortly after launch, raising suspicions of fraud.
- This trend is reminiscent of similar fraudulent activity associated with the first season of “Squid Game” in 2021; SQUID token scam stole more than $3.3 million.
At the end of December, Netflix released the second season of “Squid Game”, which led to the rise of fake tokens in the cryptocurrency market.
Squid Game tokens on the rise
Squid game The series is about a high-risk competition in which contestants, fighting against difficult economic conditions, risk their lives for a great prize.
After the release of the second season on December 26, tokens with names inspired by the “Squid Game” series quickly appeared on cryptocurrency exchanges.
However, the rapid emergence of many Squid Game themed tokens has raised concerns about the reliability of these tokens and the financial risks of investing in them.
On December 27, blockchain security firm PeckShield issued warnings about the reliability of various tokens, calling them potential scams.
“Beware of fake SquidGame tokens in circulation. Just 3 hours ago, we discovered a fake #SquidGame token distributed on the Base platform, and the distributor is the largest owner,” PeckShield said in an X post.
In this case, PeckShield pointed to a specific token distributed on the Ethereum Base platform, stating that its distributor held a significant portion of the supply. This token has lost 99% of its value since launch.
Similar schemes with questionable behavior have emerged on Solana, with the same largest token holders, indicating potential price manipulation and coordinated pump and dump practices; this often results in a pulling of the rug.
In particular, users noticed the Squid Game themed X account aggressively promoting its tokens. Observers have noticed an unusual consistency among the largest wallets holding this token; this usually indicates potential fraud.
“Yes, they are the biggest owners. Yes, they all look the same. No, this is not a coincidence. Stay alert,” said one community member.
Scams and hacks remain a persistent problem in the crypto space throughout 2024. Over the past few months, many high-profile social media accounts have been hacked and used to promote fake tokens, resulting in the rug being pulled after unsuspecting investors deposited their capital.
in general, crypto hacks and scams It cost the industry more than $2.3 billion in 2024, a 40% increase over 2023.
Similar experience: 2021
This isn’t the first time Squid Game has encountered crypto token scams. After the show aired its first season in 2021, some token launches that began with excitement ended up as scams. In one notable incident, a token called ‘SQUID’ experienced a rapid and significant increase in price, gaining more than 45,000%.
However, this rapid growth has been accompanied by the inability of investors to sell their assets on decentralized exchanges such as PancakeSwap, and warnings have been issued from platforms such as CoinMarketCap.
This incident is often considered one of the biggest problems, highlighting the risks of investing in speculative cryptocurrencies, especially those that offer limited liquidity and transparency.
Conclusion
As the crypto landscape continues to evolve, investors Squid Game Theme Tokens It is extremely important that they remain vigilant against fraudulent schemes such as: The history of fraud associated with the series highlights the inherent risks associated with high-profile cultural phenomena in the cryptocurrency market.
