Crypto exchange Binance is investigating the SQUID token collapse and considers it a scam, one of the Binance authorized essentialists told CoinDesk.

A Binance spokesperson said it is exploring options to help those who are hurt, including “blacklisting developer-linked addresses and deploying blockchain analytics to identify bad actors.”

The play-to-win SQUID protocol is built on Binance Smart Chain (BSC), but Binance says BSC is an open-source ecosystem, so the company has no oversight over projects built on the network.

“Such scam projects have become very common in the DeFi space, as speculative crypto investors looking for the next ‘moon shot’ are quick to invest in projects without proper due diligence,” the spokesperson said.

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Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individua