The Squiggles NFT project has been facing community backlash over the past week after being exposed by several sources.
NFTs have been on a roller coaster ride after gaining immense popularity last year, with some earning profit from their artwork fair and square, and others losing their funds to rug pulls and counterfeit NFTs.
Just a day after the public sale launch of the Squiggles NFT collection, the project went under scrutiny after a document was published, bringing up the team behind the project and their involvement in previous NFT scams.
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Based on the document, the team behind Squiggles was allegedly behind several other rug pulls, with some of the NFTs still listed on OpenSea including League of Sacred Devils, Lucky Buddhas, Dirty Dogs, League of Divine Beings, and Vault of Gems.
However, a couple of collections from allegedly the same team were previously pulled off OpenSea like Sinful Souls and Faceless. The document also claims that the team made almost $10M by creating fake NFT collections and abandoning them right after the public sale.
Amidst the recent events, OpenSea decided to delist the Squiggles collection. However, the NFT project did not back down for almost a week, asking OpenSea to put Squiggles back on the market.
Shortly after, the Youtube investigator Coffeezilla, who recently exposed another Youtuber for a crypto rug pull, published a video going in-depth into the whole Squiggles situation. According to him, the team was going to sell off $20M worth of Squiggle NFTs with an inflated value.
Coffeezilla managed to track down one person’s digital footprint who created several wallets and purchased Squiggles for millions, and sold them for less money which raised some red flags.
This was done, according to him, in order to create hype around the Squiggles collection, or, in other words, to create an illusion that people are actually buying these NFTs for ridiculous amounts of money, hoping that people will catch on.
Even more so, the team behind Squiggles even rented real offices in order to make it seem like they were running an actual business, and allegedly hiring 10+ employees.
The nail in the coffin was when the creators of Squiggles, who allegedly were responsible for other related projects, posted several pictures of themselves on Instagram, and started flaunting “Squiggles Boys” posters.
However, one of the people in the pictures tried to move away from the allegations, explaining that he wasn’t part of their operation, but just hanging out with the team behind it.
Currently, Coffeezilla’s Youtube video has reached over 200K views, and the document exposing Squiggles was reportedly sent to the US Securities and Exchange Commission for further review.
Interestingly enough, the initial document got removed off Docdroid, with only several copies and screenshots floating around the web.
