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Binance Is Investigating Squid Game Token, Considers It a Scam: Report

Crypto
By admin
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Binance Is Investigating Squid Game Token, Considers It a Scam: Report

Crypto exchange Binance is investigating the SQUID token crash and considers it a classic “rug pull” scam, according to a Barron’s report.

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  • Binance has frozen and blacklisted wallet addresses tied to the token’s developers, according to the report. It is also using analytics tools to identify the developers.

  • The developers appear to be using Tornado Cash to cover their tracks, Binance told Barron’s.

  • The play-to-earn SQUID protocol is built on Binance Smart Chain.

  • Binance is looking to recover lost funds and plans to communicate its findings with law enforcement, according to the report.

  • “These types of scam projects have become all too common in the [decentralized finance] space,” Barron’s quoted a Binance spokesperson as saying.

  • As reported earlier this week by CoinDesk, the price of the SQUID token has crashed to nearly zero and its developers have said they’ve left the project.

  • Binance did not immediately respond to a request to confirm details of the report

Source

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