Cryptocurrency scammers have stolen over $3 million from would-be investors after releasing a crypto asset based on Netflix's
The "SQUID" token received a great deal of media attention just weeks after its website went online and sales would begin. That attention, and a lack of scrutiny as pointed out by Gizmodo, only resulted in a rather apparent rug-pull cryptocurrency exploding in value. The sudden crash in value on Monday more or less confirmed that the currency was a "rug-pull" scam.
A rather blatant sign that should have made the SQUID token suspect to investors was that those who purchased the tokens didn't have any means to cash out. The currency's website provided scant information on the company behind the currency. Still, it offered plenty of misleading content, including an actual tweet by Tesla
The use of Netflix's top-rated and profitable dystopian fiction series was precedented by the "Mando" token. This almost identical scam capitalized on the similarly popular Disney+
The ongoing NFT fad also appears to be contributing rather heavily to the issue of crypto-asset scams. The unregulated market has been packed with tokens bearing the unlicensed likenesses of a myriad of intellectual properties. In video gaming, unauthorized NFTs of popular games such as Among Us have drawn the attention of speculative investors.
The growing popularity of crypto assets, from currencies such as Ethereum and Bitcoin to Non-Fungible Tokens, poses a broader range of opportunities for scammers. NFTs, which can be attached to a wide range of digital items, are particularly notable for their concerning flexibility.