Squid Game Cryptocurrency Plummets From $2,862 Per Coin To $0 In Seconds

The price of the Squid Game cryptocurrency has plummeted dramatically within seconds and it's a massive warning to those who want to dabble in meme coins.

There have been loads of concerns about investing in the likes of Dogecoin and Shiba Inu because they were set up as a joke in the crypto world.

However, the only joke is those who poured any sort of money into the digital asset based off Netflix's most watched TV show.

The coin was launched on October 20 and was designed as a 'pay-to-play token to play a game' based around Squid Game.

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Because of the TV show's popularity, it wasn't long before people raced to buy the coin and its value exploded by 310,000 per cent.

The online game that users could use their Squid coins in was set to launch later this month, however warnings started being issued about the digital asset being potentially fraudulent, according to the Guardian.

Over the weekend, the price per coin peaked at a little more than $2,860 and many thought they had bought a one-way ticket on the gravy train.

But investors quickly noticed that despite the price rising dramatically, they were unable to sell off their assets and jump off the train.

Then internet sleuths found the coin's white paper, which apparently had loads of grammatical errors. Alarm bells were well and truly ringing.

CoinMarketCap issued a warning to people ahead of the crash, saying: "We have received multiple reports that the website and socials are no longer functional & the users are not able to sell this token in Pancakeswap.

"Please do your own due diligence and exercise extreme caution. This project, while clearly inspired by the Netflix show of the same name, is not affiliated with the official IP."

Gizmodo said the coin's website and social media accounts were also big red flags because they were tricky to navigate and respond to.

However, before anyone could really do anything, the coin plummeted. The price literally went from $2,862 at its peak to less than $1 in seconds.

One person explained to CoinMarketCap they had invested $5,000 into the coin thinking it was going to be their big break.

"I lost all of what I had in this project," the person said.

Experts say what happened is very indicative of what's known as a 'rug pull', which is where creators pull the rug from underneath investors when they see an issue and run off with the money.

It's estimated they might have nicked more than $2 million in the process.

Gizmodo has great advice for picking cryptocurrencies in the future: "If you're going to buy cryptocurrency, the most important thing to look out for isn't necessarily the price.

"First, figure out whether you can sell the coin after you bought it.

"If you can't sell-like the people who invested in SQUID discovered they can't-it doesn't matter how high the price goes, just as it doesn't matter how large of a number someone writes on Monopoly bills."

Topics: News, Cryptocurrency, Squid Game

Stewart Perrie

Stewart Perrie is a Trending Journalist at LADbible. His first job was as a newsreader and journalist at the award winning Sydney radio station, Macquarie Radio. He was solely responsible for the content broadcast on multiple stations across Australia when the MH17, Germanwings and AirAsia disasters unfolded. Stewart has covered the conflict in Syria for LADbible, interviewing a doctor on the front line, and has contributed to the hugely successful UOKM8 campaign.

@stewartperrie