Pudgy Penguins Token Plunges into Market, Soaring to $312 Million Cap

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Cryptocurrency,NFT,Pudgy Penguins

PENGU, the native token of the Pudgy Penguins NFT project, launched with a $312 million market cap after an airdrop to NFT holders. Trading volume reached $90 million in the first hour, with 23.5% of the supply allocated to the airdrop. The floor price of Pudgy Penguin NFTs also increased to 34.1 ETH ($136,000), making it the second most expensive NFT collection after CryptoPunks. Despite the positive surge, the broader NFT market faces a multi-year slump.

PENGU is trading at a $312 market cap as trading volume hit $90 million in the first hour of trading.PENGU, the native token of non-fungible token project Pudgy Penguins, has debuted at a $312 million market cap after the token was distributed to NFT holders via an airdrop.

The Solana-based token has a total supply of 88.88 billion and has racked up around $90 million in trading volume in the first hour since release, 23.5% of PENGU's supply was allocated to the airdrop while a further 22% has been set aside from Solana and Ethereum communities. An additional 12.3% of supply will also be used as liquidity on decentralized exchanges.

The floor price of the Pudgy Penguin NFTs has risen alongside the release of PENGU, with the cheapest NFT now trading at 34.1 ETH to mark a 2.6% increase. It is now the second most expensive collection after CryptoPunks. It has outperformed the wider NFT market which remains in a multi-year slump following the emergence of meme coins this cycle. NFTs were the plat du jour in 2022 amongst the more speculative crypto investors, but as hype and liquidity withered away so did asset prices. Trading volume on NFT exchange OpenSea topped $2.7 billion in a single day in 2022, whilst this month it has struggled to top $30 million.Oliver Knight is the co-leader of CoinDesk data tokens and data team.

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