• What Is Squid Game (SQUID) and Why Has It Increased 110,000% in 5 Days?

  • The cryptocurrency market is a thrilling place to be.

    Up until a few days ago, meme coins like Shiba Inu (SHIB), Floki Inu (FLOKI), and a slew of other Dogecoin derivatives were charting three-digit daily increases.

    Tokens associated with the play-to-earn business model appear to be taking center stage right now. P2E tokens are surging, Following Facebook’s announcement that it will rebrand to Meta. Mark Zuckerberg appears to be on a high horse, and he’s now all about building the Metaverse.

    While flagship play-to-earn projects like Axie Infinity, Decentraland, and The Sandbox are seeing massive gains, Squid Game’s SQUID token is up 110,000% in just five days.

    This article delves deeper into the project and the factors that have contributed to its meteoric rise.

    What exactly is Squid Game?

    Well, there are two answers to this. First and foremost, Squid Game is a new Netflix show that has exploded in popularity around the world. In a matter of weeks, the show became a hot topic of discussion among film buffs, owing primarily to its plot.

    In the show, 456 South Koreans are chosen to participate in a challenge, each with their own set of obstacles, mostly financial. They are given the option of playing six different children’s games (such as Tug O’ War, Dalgona Candy, Red Light, Green Light, and, of course, Squid Game – a popular Korean children’s game), and those who win all six receive an enormous cash reward. The only catch is that if you lose, you’re out. And when we say eliminated, we mean literally killed.

    Without giving too much away about the plot, the show was a huge success all over the world. According to earlier this month’s reports, the show was watched by more than 130 million people and was expected to generate more than $900 million in value for the company.

    Returning to crypto, it didn’t take long for a group of developers to capitalize on the growing buzz and launch a crypto-based project centered on the show. The Squid Game project has arrived.

    It appears to be intended to be an ecosystem, as there are a plethora of products on the market, some of which are still in development.

    More Information on the Squid Game

    The game is still in development, but some details have already been revealed. As in the show, 456 people will be chosen through a lottery of all SQUID token holders, and it will be a winner-takes-all situation in which the winner will receive all of the rewards. Each game has a different entry fee – for example, the first game costs 456 SQUID, the second 1,000 SQUID, and so on. The previous round’s winners will be eligible for the next level.

    There will be six games, each of which will be a recreation of the games featured in the Netflix show.

    There is an NFT marketplace where users can purchase various non-fungible tokens based on the series’ characters and objects. There’s also a hub where you can stake specific products and earn rewards.

    At first glance, it appears to try to offer a little bit of everything, which could be interpreted as a red flag if we follow the adage “a jack of all trades but a master of none.”

    The SQUID token, which runs on the Binance Smart Chain, serves as the foundation for the entire platform.

    Why did SQUID skyrocket 110,000% in a matter of days?

    A number of factors must be considered in this case. Let’s begin with the most obvious.

    Squid Game, the crypto project, was born relatively quickly. It was, in fact, listed on CoinMarketCap on October 26th – just five days ago. Its Twitter account was also established in October, indicating that it is a new project with a token launched on the Binance Smart Chain.

    Simultaneously, the Netflix show The Squid Game continues to grow in popularity and is frequently on trending lists. It’s entirely possible that people rushed into the project due to the theme.

    Another reason is that it includes a play-to-earn concept. As previously stated, many P2E tokens have skyrocketed in value in the days since Facebook’s announcement. Both of these circumstances appear to have created a perfect storm for the SQUID token, but what isn’t widely discussed is the headache that it also caused, making the game virtually impossible to play.

    With a high price comes a high risk of problems.

    As previously stated, the core concept of the Squid Game is the game itself – the six children games that users get to play in order to earn massive rewards. Aside from the fact that it is still in development, making the decision to purchase SQUID dubious at best, there is an obvious issue that its skyrocketing price creates – a massive barrier to entry.

    The first game costs 456 SQUID, which equates to approximately $6.3K at current prices. The second game costs $14K, and the prices continue to rise until the sixth game, which now costs $210K to play.

    This is literally the core concept of the entire project, and in order to win, someone must pay more or less half a million dollars just to participate.

    Time will tell if this project can justify its current valuation, but all things considered, it appears increasingly difficult. Other red flags include a banner on their official website claiming that Elon Musk was shilling it when, in fact, he was responding to a Twitter thread related to the show and had nothing to do with the cryptocurrency project itself. Even so, it’s easy to see how people could fall for it.

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