The encryption community is igniting a trend for Penguin avatars, and the Pudgy Penguins ecosystem is in full bloom.

Recently, a wave of penguin-themed avatars has swept through the encryption community. Many industry organizations have changed their social media avatars to the derivative images of Pudgy Penguins. This trend has not only driven up the prices of related assets but also sparked interest in the Pudgy Penguins ecosystem.

Pudgy Penguins Ecosystem Overview

Pudgy Penguins has developed into a diversified ecosystem centered around a strong brand IP. This ecosystem includes the Ethereum Layer 2 network Abstract based on ZK technology, as well as various segments such as gaming applications, meme tokens, NFT lottery platforms, and offline toys.

According to the latest data, Pudgy Penguins toy sales have exceeded $10 million, with the number of game users reaching 60,000, and the total number of active users on the Abstract network being approximately 2.5 million. This data indicates that Pudgy Penguins is transforming into a Web3 super IP with scale effects, commercialization capabilities, and on-chain infrastructure.

1. Physical Ecology

The Pudgy Toys series is the most successful case of physical products for Pudgy Penguins. Since its first launch in May 2023, Pudgy Toys has quickly climbed to the bestseller list, with sales exceeding $10 million, and has successfully entered over 10,000 large chain stores across the United States. The rich product line and innovative NFT licensing revenue mechanism provide a new commercialization path for the NFT industry.

2. Game Section

Gaming is a key focus area for Pudgy Penguins. In May of this year, the 1v1 turn-based battle game Pengu Clash was launched, attracting over 60,000 players in its first week. Another multiplayer survival adventure game, Pudgy Party, is scheduled to launch in the summer of 2025, and its official social media accounts have already attracted nearly 100,000 followers. By launching lightweight games that meet user needs, Pudgy Penguins is expanding its IP influence and attracting more users.

3. Abstract Ecology

Abstract is the Ethereum Layer 2 network jointly launched by the company behind Pudgy Penguins, utilizing ZK-rollup technology and a wallet solution that does not require a mnemonic phrase, aiming to lower the user threshold. As of July 18, the TVL of the Abstract network reached 42.6M, a year-on-year increase of 533% since the beginning of the year, with the number of active users maintained in the range of 50K-200K.

Popular projects in the Abstract ecosystem include:

• Abster: The official mascot meme token of Abstract, with a market value of 37.6M as of July 17, making it the highest market cap meme coin in the Pengu ecosystem.

• Polly: The official token for the lottery project PollyPrize, users can participate in platform lottery activities by purchasing Polly, with prizes including currently popular NFTs.

Future Development Potential

Several directions worth paying attention to for the future development of the Pudgy Penguins ecosystem:

1. A cryptocurrency asset management institution has applied to the regulatory authorities to launch a spot ETF product based on $PENGU. If approved, it will become the world's first ETF product with NFT project native assets as the underlying asset, marking a milestone.

2. The Abstract network is expected to launch its Token Generation Event (TGE) by the end of this year. As the core infrastructure supporting the diverse businesses of Pudgy Penguins, the implementation of its token mechanism will provide stronger incentives for ecosystem participants.

3. The multiplayer survival challenge game Pudgy Party is expected to launch this summer, with the potential to achieve content linkage with other projects within the ecosystem, further enhancing brand stickiness and ecosystem popularity.

Pudgy Penguins has developed into a composite Web3 brand encompassing IP, physical entities, games, and infrastructure. Its diversified layout and cross-scenario ecological closed loop are the main reasons for its continued activity in the current market environment.