Originally published on: December 17, 2024
The much-anticipated launch of Pudgy Penguins’ native token, PENGU, took a drastic turn as it dropped more than 50% in just a few hours of trading following the NFT project’s recent airdrop on December 17.
With nearly 89 billion tokens up for grabs, Pudgy Penguins has already distributed half of PENGU’s total supply among community members, reserving around 26% for NFT holders, as stated on their website.
Initially valued at a market capitalization of $2.8 billion, the PENGU token, exclusively trading on Solana, has seen a rapid decline to less than $2 billion in market cap, based on CoinGecko data.
Despite the lack of a specific use case for PENGU tokens from the Pudgy Penguins team, they are anticipated to hold significance in the project’s governance, indicated by Bybit.
Established in 2021, Pudgy Penguins comprises 8,888 distinct NFTs, featuring adorable penguin designs that have gained immense popularity in the NFT space. The collection has expanded to include other NFTs like Lil’ Pudgys and Pudgy Rods, adding more charm to the penguin-themed universe.
Ownership of any of these NFTs enables holders to claim PENGU tokens by verifying their ownership on the Ethereum network, noted the team behind Pudgy Penguins.
Pudgy Penguins NFTs have a substantial market value, with a floor price exceeding 16 EtherETH, equivalent to roughly $64,000. Currently held across almost 5,000 unique wallets, the NFTs have maintained their value despite the PENGU token’s downward trend.
In comparison, CryptoPunks remains a prized possession in the NFT world, with individual NFTs fetching enormous sums up to $20 million each. Although initially priced around $170,000, CryptoPunks continue to hold significant value, proving the longevity and appeal of well-established NFT collections.
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