Pudgy Penguins CEO: Abstract lost tens of millions of dollars over two years, will fully return to Pudgy Penguins and PENGU

PANews reported on October 7 that Pudgy Penguins CEO Luca Netz announced that Abstract will gradually wind down, and starting today, Igloo Inc. will devote all its energy to Pudgy Penguins, Pudgy NFTs and $PENGU.

Luca said that Abstract invested tens of millions of dollars over the past two years, processed more than 300 million transactions in total, and attracted numerous global brands. However, due to insufficient DeFi ecosystem, liquidity and institutional participation, the project never found product-market fit (PMF). As market interest declined and there was no scalable path forward, Igloo ultimately decided to stop continuing to fund Abstract from the Pudgy Penguins business.

He also said that Igloo has always been a community-first company. Even after losing eight figures in dollars, Igloo still chose not to raise funds for Abstract by issuing tokens or an IC0, because it did not have enough confidence to prove there was sustained demand for a token. At the same time, Luca thanked the Abstract community and said that as the project winds down, the company will fully push Pudgy Penguins to become a global cultural phenomenon.

Previously reported, L2 network Abstract announced its shutdown, with users required to migrate assets before December 15.