Squid Game token rises over 1,000% as Binance investigates meme coin

Binance has launched an inquiry into the Squid Game (SQUID) token, which is suspected of being an exit scam or rug pull, according to the leading cryptocurrency exchange. SQUID has received tremendous attention from buyers, with its price surging over 1,000% in the past 24 hours.

SQUID bulls buy token in hope of resurrection

The token inspired by the popular South Korean Netflix show Squid Game has turned out to be a scam, as its developers have taken off with around $3.4 million. SQUID, the “play-to-earn cryptocurrency,” allowed users to earn more tokens in online games that can then be exchanged for other digital assets.

The Squid Game token was introduced in late October and quickly saw its price surge as buyers rushed in. SQUID skyrocketed from $0.01 to around $2,800 before plunging back to $0 earlier this week. The website for the token disappeared along with its social media presence.

The developers of the project stated that the team does not want to continue running the project, stating that they were depressed by scammers and overwhelmed with stress.

The token has been known as a scam as investors could invest in the digital token, but there was no evidence that they could withdraw these coins. After SQUID crashed to $0, over 40,000 investors kept their coins. However, SQUID price has surged by over 1,000% as users remain optimistic that the token will make a comeback. 

SQUID/USD

Binance is now investigating the scammers who were behind the Squid Game token project. An intelligence team is now auditing the blockchain and gathering information to hand over to the authorities as the token was based on the Binance Smart Chain. 

The leading cryptocurrency exchange is also looking at ways to assist those who purchased SQUID and lost out while the token plunged. While the firm hopes to recover funds, the possibility remains slim. 

Binance added that the developers may have used a coin mixer called Tornado Cash to obfuscate their transactions. The exchange is blacklisting addresses affiliated with the developers and utilizing blockchain analytics to identify the scammers.