Cryptocurrency tokens based on Netflix’s Squid Game series have resurfaced following the release of the show’s second season, drawing concerns from community members and blockchain security experts.
On Dec. 26, Netflix released the second installment of its popular Korean dystopian thriller, Squid Game. In response, a wave of Squid Game-themed crypto tokens hit the market. Blockchain security firm PeckShield flagged these tokens as potentially fraudulent, warning that many could be scams or rug pulls. For example, one token on the Base network saw its deployer listed as the largest holder, and it lost 99% of its value shortly after launch. Similar tokens were also identified on the Solana network. Community members on social media warned against investing in these tokens, highlighting suspicious distribution patterns where a few wallets controlled most of the supply.
The alerts were issued on Dec. 27, a day after the show’s new season premiered on Netflix.
The fraudulent tokens were detected on various blockchain networks, including Base and Solana, with promotions appearing on social media platforms like X (formerly Twitter).
Scammers often exploit popular cultural moments to attract investors. With the massive success of Squid Game’s second season, bad actors are leveraging its name to create tokens that appear legitimate but are designed to defraud buyers. Community members referenced the 2021 Squid Game token, which skyrocketed by over 45,000% in value before being exposed as a rug pull when users found they couldn’t sell their tokens.
Fraudulent tokens mimic legitimate projects to attract unsuspecting investors. Blockchain security experts like PeckShield monitor token activity and highlight red flags, such as uneven token distribution or price manipulation. Community vigilance has also been crucial in identifying scams, with users sharing warnings and analyzing suspicious activity.
The history of scams tied to Squid Game tokens and the recent alerts emphasize the importance of due diligence. Investors are advised to exercise caution and avoid tokens with unclear origins or questionable market activity.
