"Grave Encounters" is a found-footage horror film released in 2011, but it is not based on a true story. The film follows a crew of a paranormal reality TV show who investigate an abandoned mental asylum. While it presents itself as a documentary-style narrative, the events and characters are fictional. The movie plays on the fear of the unknown and supernatural elements, creating a chilling atmosphere rather than depicting real-life occurrences.

"Grave Encounters" is a found-footage horror film that follows a team of paranormal investigators who become trapped in an abandoned mental hospital. It’s known for its chilling atmosphere and effective scares. As for the "scariest movie in the world," opinions vary widely, but many consider films like "The Exorcist," "Hereditary," or "The Conjuring" to be among the top contenders for that title due to their intense psychological horror and lasting impact. Ultimately, fear is subjective, so the scariest movie can differ from person to person.

"Grave Encounters" is a found-footage horror film that follows a group of filmmakers investigating a supposedly haunted asylum. It has garnered a cult following for its effective use of atmosphere, suspense, and jump scares. The film cleverly satirizes reality TV ghost-hunting shows while delivering genuine frights. If you enjoy supernatural horror and are a fan of the found-footage genre, it's worth watching for its unique premise and chilling moments. However, it may not appeal to everyone, especially those who dislike shaky cam or low-budget aesthetics.

As of October 2023, "Grave Encounters" is not available on Netflix. However, streaming availability can change frequently, so it's a good idea to check directly on Netflix or other streaming platforms for the most current information. You might also find it available for rent or purchase on services like Amazon Prime Video, iTunes, or Google Play.