TLDR
- Pudgy Penguins announces PENGU token launch on Solana blockchain with 88 billion total supply
- NFT collection hits new all-time high floor price of $62,000, up 40% this week
- Project to distribute tokens across NFT holders (23.5%) and crypto communities (22.02%)
- Company raised $11M for Ethereum Layer-2 network called Abstract
- Brand expanded beyond NFTs with $10M+ in physical toy sales and upcoming mobile game
Pudgy Penguins, the third-largest NFT collection by market capitalization, announced plans to launch PENGU, a new token on the Solana blockchain, before the end of 2024. The news comes as the project’s NFT floor price reached a record high of $62,000, marking a 40% increase this week.
The project team revealed plans to distribute 88 billion PENGU tokens, with 23.5% reserved for current Pudgy Penguins NFT holders and 22.02% allocated to the broader Solana and Ethereum communities. The distribution plan includes setting aside 12.32% of tokens to provide liquidity on decentralized exchanges.
In the project’s announcement video, the PENGU token is presented as the “Master Coin,” which will be “hatched” from a golden egg by the core team of seven members. This metaphorical approach aligns with the project’s playful brand identity, which began in July 2021 with 8,888 NFT pieces.
Introducing $PENGU, the official coin of Pudgy Penguins.
Launching in 2024. Learn more below. pic.twitter.com/J715bODcM6
— Pudgy Penguins (@pudgypenguins) December 6, 2024
The collection’s market performance has been strong, with its floor price surpassing the previous peak of $57,000 recorded in February 2024. This price movement coincides with Bitcoin’s rise above $100,000 and reflects broader market momentum affecting major NFT collections.
Pudgy Penguins has maintained market stability despite NFT market fluctuations, achieving a total market capitalization of approximately $550 million. The brand’s success extends beyond digital assets, having generated over $10 million in revenue from physical toy sales through major retailers including Walmart, Target, and Walgreens.
The project’s expansion plans include a mobile game called Pudgy Party, developed in partnership with Mythical Games. Set to launch globally on iOS and Android platforms in 2025, the game emphasizes teamwork and shared rewards in an accessible environment, differentiating itself from typical knockout royale games.
Earlier this year, Igloo, Inc., the parent company of Pudgy Penguins, secured $11 million in funding to develop Abstract, a new Ethereum layer-2 scaling network. The funding round was led by Founders Fund, with participation from Fenbushi Capital, 1kx, Everest Ventures Group, and Selini Capital.
The PENGU token launch represents a strategic move as market attention shifts from NFTs to fungible tokens and meme coins. On social media platform X, formerly Twitter, the project acknowledged this shift, stating “Tides are shifting. A new beginning is upon us.”
Tides are shifting, a new beginning is upon us. pic.twitter.com/fYsAbWIvdL
— Pudgy Penguins (@pudgypenguins) December 3, 2024
The project’s social media presence remains strong, with over 3 million followers across platforms and 32 billion views on Giphy. This engagement supports the brand’s expansion beyond its original NFT focus.
The broader NFT market has shown renewed activity, with the overall market capitalization reaching $8.6 billion according to CoinGecko data. Weekly Ethereum NFT trading volume has doubled, exceeding $101 million.
The project’s trajectory changed when Luca Netz acquired it in 2022, transforming it from a struggling NFT collection into a prominent crypto-native brand. In July, Netz shared optimistic projections for the project, suggesting a potential floor price target of 200 ETH (approximately $780,000 at current rates) during this market cycle.
While the project plans future integration with the Abstract Ethereum Layer-2 solution, current efforts focus on establishing PENGU’s presence in the Solana ecosystem. The token launch adds a new dimension to Pudgy Penguins’ expanding portfolio of digital and physical products.
The distribution model for PENGU tokens includes provisions for existing NFT holders across various collections, including Pudgy Penguins, Lil Pudgys, and Pudgy Rods. This approach aims to reward early supporters while expanding the project’s reach to new communities.
The project’s original collection featured penguin characters with various traits and accessories, establishing a recognizable brand that has since expanded into multiple product lines and digital experiences.
The decision to launch on Solana represents a cross-chain expansion for the traditionally Ethereum-based project, potentially opening new opportunities for growth and user engagement across different blockchain ecosystems.
