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"Squid Game" crypto coin promoters vanish with investor millions in "rug pull" scam – CBS News

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By Khristopher J. Brooks
November 2, 2021 / 5:21 PM / MoneyWatch
While the fate of many contestants in the fictional “Squid Game” series from South Korea was a quick death, for investors in a cryptocurrency inspired by the global sensation, things didn’t pan out so well either. 
Last week, an unknown developer launched a crypto token inspired by the wildly popular Netflix show about a deadly game in which players risk their lives to dig themselves out of extreme financial debt. Called Squid, the digital currency began trading on the PancakeSwap platform on October 26 at a penny per token, according to crypto-pricing website CoinMarketCap. The price grew to $2,861 by Monday, according to CoinMarketCap data.
Not long after the Squid coin hit the market, CoinMarketCap issued a warning to investors that something was amiss. Someone had dismantled the Squid coin website and promotors of the cryptocurrency could no longer be reached, CoinMarketCap said. 
“We have received multiple reports that the website and socials are no longer functional and users are not able to sell this token in Pancakeswap,” CoinMarketCap said on its website. “There is growing evidence that this project has been rugged. Please do your own due diligence and exercise extreme caution.”
More than 43,000 investors bought the Squid currency and now blockchain experts believe those people have become prey to what’s called a “rug pull” scam, in which developers bail on a digital currency as soon as investors have poured lots of money into the asset. 
The common crypto scam has accounted for $113 million in investor losses between January and July, according to a report from cryptocurrency intelligence firm CipherTrace. The makers of the Squid token likely made off with about $3.3 million, according to an estimate reported by Gizmodo.
Squid coin investors probably won’t get their money back, said J.P. Richardson, CEO of blockchain wallet company Exodus. The incident highlights how important it is for investors to carefully choose where they place their money, Richardson said. 
“It’s a tale as old as time,” Richardson told CBS MoneyWatch. “Do your own research. Go to the website, verify that the team is real people.”
The Squid currency creators took advantage of a current moment in time in which the Korean survival show has become a major hit, and investors — particularly millennial and Gen Z savers — want to see high returns in a short time, Richardson said. But people should have seen the scam coming, he said. One dead giveaway: the Squid coin website told investors their money had to be secured behind an anti-dump technology feature. 
“If your money has to be locked up, that made it pretty clear it was a scam,” Richardson said. 
PancakeSwap did not return requests for comment Tuesday. The platform has officially labeled the Squid offering a rug pull scam. 
Digital currency scams have been at the center of many of this year’s biggest financial losses. The Federal Trade Commission said scammers are finding creative ways to con people into fraudulent crypto investments. One such scheme offers crypto investment “tips” online then redirects consumers to fraudulent sites. In another, scammers pose as celebrities, such as billionaire Elon Musk, to trick consumers into sending them cryptocurrency, promising them the celebrity will contribute to their investment. 
Despite the rampant fraud and price instability, cryptocurrencies continue to grow into mainstream acceptance. Bitcoin reached a record high price of nearly $50,000 in February, in part because more companies are accepting it as a form of payment. Ethereum and dogecoin also hit record-high prices earlier this year.
Khristopher J. Brooks is a reporter for CBS MoneyWatch covering business, consumer and financial stories that range from economic inequality and housing issues to bankruptcies and the business of sports.
First published on November 2, 2021 / 5:21 PM
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Copyright © 2021 CBS Interactive Inc. All rights reserved.
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The September Curse: Why Bitcoin Price May Touch $10,000 – NewsBTC

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September has been a historically bearish month for bitcoin and the rest of the crypto market by extension. Back in 2021, bitcoin’s deviation from expected market trends had sparked hope that it would break the September curse, but alas, it followed it to a T. This is why with the new month already ushered in, there are expectations that the price of BTC will continue to dive and likely reach lower trends as it enters the worst of the bear market.
One of those who have referred to the September curse in their analysis of the price of bitcoin is Scott Redler, the Chief Strategist at T3 Trading Group. Redler posted a bitcoin chart outlining the movement of the digital asset since last year, marking important technical points that had triggered a downtrend in its price.
An important level that has been mapped out by BTC lately is the $17,600. This represents the new local low after the cryptocurrency had set a new record and plunged below its previous cycle peak. Now, $17,600 has become the level for bulls to hold to avoid further decline.
Redler’s chart shows that if the digital asset fails to hold above this level, then the next support lies around $13,500. But even more interesting is the fact that below $13,500, the next possible point is at the dreaded $10,200. 
Bitcoin price chart from TradingView.com
The strategist explains that the month will determine where the price of BTC ends up following this. However, if bulls are able to hold above this level, which ends up serving as a bounce point, then BTC’s next major level lies just above $25,000.
Bitcoin is an asset that has always followed historical trends closely. Even when it had broken out of set trends back in 2021, it still kept close to others. One of those was the infamous “September Curse.” For anyone who doesn’t understand what this is, the term was coined because bitcoin’s price has always recorded a decline during this month.
Last year was no different in this regard despite the fact that the crypto market is deep in the throes of a bull market. Bitcoin had started the month of September 2021 at around $53,000 but had lost more than $10,000 of its value by the time the month drew to an end. This was in spite of remarkable adoption, such as El Salvador officially accepting the cryptocurrency as a digital asset and Cardano finally debuting smart contract capability.
Given this, it is possible that bitcoin will stick to this trend. The digital asset is already showing signs of decline, starting the month above $20,000 and already falling below this important technical level. If BTC went the way it did in 2021, the price will likely drop to around $16,000, which would account for about 20%, in line with previous downtrends. 
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Trader Who Nailed 2022 Bitcoin Collapse Predicts Big Correction for XRP, Updates Outlook on Two Low-Cap Alt… – The Daily Hodl

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The crypto analyst who accurately predicted Bitcoin’s (BTC) crash this year says XRP is likely due for an over 50% decline.
The psuedonymous analyst known in the industry as Capo tells his 541,600 Twitter followers that open-source digital currency XRP remains in a downtrend despite its recent rally.
According to a chart shared by Capo, XRP appears poised to plunge to its high timeframe support at $0.20.
“XRP.”
At time of writing, XRP is changing hands for $0.447, an over 5% decrease on the day. The sixth-largest crypto asset by market cap has risen nearly 40% from its 30-day low of $0.32 but remains more than 86% down from its all-time high of $3.40.
Another altcoin on the trader’s radar is Stellar Lumens (XLM), a crypto asset designed to act as a bridge between two fiat currencies when sending money abroad. According to Capo, XLM gearing up for a quick rally to his target of $0.16 before resuming its downtrend.
“Long on XLM.”
At time of writing, XLM is valued at $0.118, flat on the day.
The analyst is also keeping a close watch on Reserve Rights Token (RSR), cryptocurrency designed to facilitate the stability of the asset-backed stablecoin known as the Reserve Token (RSV). According to Capo, RSR still offers more upside potential despite its over 90% rally in just two weeks.
“Support to resistance flip of the previous key level. Next target is $0.012, but main target remains $0.017. I haven’t taken profits yet, just trailing the stop in profits.” 
At time of writing, RSR is swapping hands for $0.0099, a 4.95% increase on the day.
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Bitcoin slips lower, and South Korea issues arrest warrant for Terra's Do Kwon – CNBC

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Bitcoin slips lower, and South Korea issues arrest warrant for Terra’s Do Kwon  CNBC
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