With the discharge of the second season of Netflix’s hit present Squid Sport on December 26, a flood of crypto tokens impressed by the collection has surged onto the market.
Nevertheless, warning is suggested as many of those tokens are suspected to be scams or “rug pulls.”
Squid Sport follows a bunch of financially determined contestants who threat their lives in a lethal competitors for a considerable money prize. Because the present gained renewed consideration, tokens bearing the identical identify shortly emerged on varied crypto exchanges. Whereas the characters within the present stand to win massive, these investing in these new Squid Sport tokens could face a lot much less favorable odds.
Blockchain safety agency PeckShield issued a warning on December 27, figuring out a number of Squid Sport tokens as fraudulent. They highlighted a particular token on the Base community, the place the creator holds nearly all of the provision, and the token’s worth plummeted by 99% quickly after its launch. Comparable suspicious tokens have additionally appeared on the Solana community. A Twitter account selling a Squid Sport-themed token raised pink flags, with a group member noting that the highest token holders shared similar addresses, suggesting a coordinated effort to probably “dump” the tokens as soon as others buy them.
This isn’t the primary time Squid Sport has been linked to doubtful crypto tasks. In 2021, the preliminary season of the present impressed a token that noticed a dramatic worth improve of over 45,000%. Nevertheless, this spike was adopted by suspicions of foul play, as many customers discovered themselves unable to promote their tokens on decentralized exchanges, resulting in accusations of a “rug pull.” On the time, CoinMarketCap issued a warning, confirming that transactions had been blocked on PancakeSwap, the platform internet hosting the token.
