Squid Games cryptocurrency crash lessons for investors: How to save yourself - 4 Tips
- Concerns regarding the Squid Games cryptocurrency all came true when it crashed to just $0. Check most important lessons for investors.
Squid cryptocurrency, the name is based on a popular Netflix web series Squid Games, crashed to just $0 and caused immense loss to investors. Notably, Squid Games cryptocurrency had reached its highest ever level of $2,861. This latest issue of vanishing cryptocurrency value, which happened within minutes, shows how risky it can be to invest in the cryptomarket, CoinDesk reported. What is even more notable is the fact that fraudsters got away with a huge amount from Squid Games cryptocurrency. The amount was a whopping over $2 million. The amazing part is that investors believed in the Squid Games cryptocurrency's veracity and kept investing in it despite a number of red flags that anyone should have recognised.
Squid cryptocurrency token's value
The anonymous scammers behind the cryptocurrency crash, which peaked to $2,861 just before plunging to $0, made more than $2.1 million before shutting it down. According to CoinMarketCap, the Squid cryptocurrency token's value skyrocketed from $628.33 to $2,856.65 within the time span of 10 minutes and then crashed to $0.003203.
Squid crypto creators exit, cite stress, depression
After the price of the Squid crypto project's linked token dropped to just about zero, the project's creators chose to quit. They announced on their official Telegram channel that the project's developers no longer wanted to run it because of the difficulty in dealing with scammers.
"Someone is trying to hack our project these days. Not only the Twitter account @GoGoSquidGame but also our smart contract. We are trying to protect it but the price is still unusual. Squid Game Developers does not want to continue to keep running the project as we are depressed from the scammers and are overwhelmed with stress. We have to remove all the restrictions and the transaction rules of Squid Game. It will enter a new stage of community autonomy [sic]," the developers' Telegram channel of Squid Cryptocurrency statement reads.
Squid Games cryptocurrency: Name of the game
This is widely known as a ‘rug pull' scheme - due to digital scamming, the creators of the crypto quickly cash out their tokens for real money, leaving the exchange's liquidity pool with nothing.
Squid Games cryptocurrency: Lesson
1. Newly launched Squid Game cryptocurrency project, in the last week, gained popularity with a lighting speed and the price of the token rose by more than 35,000 per cent in just 72 hours.
Any such massive rise in value should always be looked at with suspicion. Most get rich quick schemes are run by fraudsters. Real world profit is much, much smaller. And even though Bitcoin and Ether have created value, even for them, this was a stretch from any point of view.
2. Another red flag raised was that there were so many grammatical and spelling mistakes on the website. In fact, all advisories on digital investing say that the first thing any investor should do to verify whether a digital entity is real or fake is to check for both spelling and grammatical mistakes. This would show up unprofessional conduct immediately.
3. Another red flag was that there was a total restriction for outsiders on putting up their comments on its Telegram channel.
4. Another blatant red flag was that you could buy the token, but you were not allowed to sell it. That is just bizarre. It breaks every rule that there is.
All this should have made investors stay away. But too may investors failed to do their basic homework.
Squid Cryptocurrency story not over yet
The amazing part is that Squid cryptocurrency token has soared by 600 percent to $0.1012 in just 24 hours, Indian Express said, quoting CoinMarketCap data on Thursday.
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