Igloo, Inc., the NFT and IP company behind Pudgy Penguins, said it will shut down Abstract, its consumer-focused crypto blockchain, and reallocate staff and resources to Pudgy Penguins, Pudgy NFTs, and the PENGU token. The company said Abstract was built to serve consumer use cases and required investment in engineering, ecosystem talent, and infrastructure. Its growth, however, was constrained by the high cost of operating an independent blockchain, limited liquidity, a weak DeFi ecosystem, and declining market interest. Over the past two years, Igloo said it lost tens of millions of dollars while keeping Abstract running, expanding it, and trying to find product-market fit and a path to monetization. The company added that even better-capitalized firms have struggled to find product-market fit for their own blockchains, making the decision to shut down Abstract the appropriate one. Going forward, Igloo said it will refine a brand path that runs from products and content to PENGU and then to Pudgy Penguins NFTs, with its focus returning to the character IP.
According to ChainCatcher, NFT and IP company Igloo, Inc. will shut down Abstract, its consumer-focused crypto blockchain, and redirect personnel and resources to Pudgy Penguins, Pudgy NFTs, and the PENGU token.
Why Igloo is ending Abstract
Igloo said Abstract was designed as a public blockchain for consumer use cases, and that the company invested engineering talent, ecosystem staff, and infrastructure into the project.
Still, its growth was held back by several factors: the high cost of running an independent blockchain, limited liquidity, a weak DeFi ecosystem, and declining market interest.
Tens of millions of dollars lost over two years
Igloo said it has lost tens of millions of dollars over the past two years while keeping Abstract operational, expanding it, and trying to find product-market fit and a viable monetization path.
The company also said that even firms with deeper funding have struggled to find product-market fit for their own blockchains, making the shutdown of Abstract the right decision.
Focus returns to the Pudgy brand
Going forward, Igloo said it will refine a brand path linking products and content to PENGU and then to Pudgy Penguins NFTs, with its focus shifting back to that character IP.
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