Netflix’s popular South Korean show ‘Squid Game’ based cryptocurrency called the ‘Squid Game Coin’ value unexpectedly drops to zero. The drastic development comes after its creators took off with the approximately 2.5 billion won ($2.13 million) invested in the coin.
According to Coin Market Cap, a global cryptocurrency tracker, the digital token had once surged to as high as 3.4 million won. While ten minutes after it reached its peak, the cash invested in the tokens was suddenly liquidated by its creators.
Market experts in the country has labelled the case as an apparent “rug pull” scam and mentioned that the investors should have checked whether the crypto was legit for investment.
A senior researcher at Korea Economic Research Institute, Hong Sung-il commented that the digital token, taking the form of a play-to-earn coin, lured many users by giving them opportunities to participate in online games inspired by the program. Also since it was a ‘meme coin’, investors think they are ‘on trend’ if they purchase or sell the particular cryptocurrency.
Hong continued to put out caution that investors need to be wary that the crypto market is extremely volatile. Instead of just following the investment trend, before making an investment they need to look into the documents released by the crypto project that gives technical information.
With the global craze for ‘meme coin’, Squid Game Coin lured investors with images of characters or symbols in the TV drama without Netflix’s consent, which holds the copyright for the series.
While a crypto named after the global fan club of K-pop boy group called BTS Army Coin, also infringes on the boy band’s copyright. The group’s agency Hybe had announced itself earlier that it has nothing to do with the virtual coin and is considering legal action.
Several market insiders have warned that money invested in Squid Game Coin appears to be nonrefundable, and if crypto creators liquidate the entire coin and vanish, investors are liable to lose their money.
Launched on Oct. 26, the Squid Game Coin crypto project, had announced that investors could play an online version of “Squid Game” and the final winner would receive an unlimited amount of a bonus, similar to the characters in the drama series.