Pudgy Penguin2026-10-07 04:31:14Igloo to shut down Pudgy Penguins-linked Abstract on Dec. 15 after spending tens of millionsIgloo, the parent company behind Pudgy Penguins, said it will shut down its Ethereum layer-2 network Abstract on Dec. 15 after funding the chain for roughly 18 months and losing what CEO Luca Netz described as tens of millions of dollars. Users have been told to move assets off the network before the deadline or risk losing access to funds left behind. DefiLlama data cited in the report showed around $76 million still on the chain as of Wednesday. Abstract launched in January 2025 with a consumer-focused pitch tied to the Pudgy Penguins brand, which has expanded from an NFT collection into toys, games and merchandise sold through retailers including Walmart and Target. The network said it processed more than 325 million transactions, recorded $6 billion in decentralized exchange volume and reached 4 million wallets. It also said businesses on the network generated more than $40 million in revenue. Still, Igloo said growth had stalled. The company pointed to thin markets, limited institutional participation, a small DeFi segment and fee income that failed to cover operating costs. The move follows Blast’s own shutdown announcement days earlier, making Abstract the second Ethereum-linked layer 2 in less than a week to announce plans to cease operations.10
Abstract2026-10-07 02:02:09Abstract to shut down on Dec. 15 as Igloo ends support for loss-making Ethereum L2Igloo Inc. said it will wind down Abstract, its Ethereum Layer 2 network, and shut the mainnet on Dec. 15, after which assets left on the chain will no longer be accessible. The decision came less than a week after Blast announced its own shutdown, but the case around Abstract is different: the network had users, apps, wallet growth and brand partnerships, yet still failed to sustain itself. According to the source article, Igloo funded Abstract for 18 months and absorbed losses in the "tens of millions" of dollars. CEO Luca Netz said the company could have launched a token, and even run an ICO, to extend the project’s runway, but chose not to do so because it lacked confidence in real demand for such a token. The article said Abstract had more than 4 million wallets created, more than 400,000 users, 144 deployed apps and over 3.25 million transactions processed. Even so, DeFi activity never took hold, liquidity stayed thin, institutional participation was limited and the chain’s revenue model remained weak. After the shutdown announcement, Igloo said it would refocus all resources on Pudgy Penguins and the PENGU token. Users with funds on Abstract have until Dec. 15 to move assets to Ethereum.10
Abstract2026-10-07 03:12:10Abstract to shut down mainnet on Dec. 15 after Igloo says it lost tens of millionsIgloo Inc., the parent company of Pudgy Penguins, said its Ethereum Layer 2 network Abstract will wind down and shut its mainnet on Dec. 15, warning that assets left on-chain after the deadline will no longer be accessible. The decision came less than a week after Blast announced its own shutdown, but the setup was different: Abstract had user numbers, wallet creation, deployed apps and brand partnerships, yet still failed to build a sustainable business. CEO Luca Netz said Igloo had funded Abstract for 18 months and absorbed losses in the "tens of millions." He said the company could have launched an Abstract token or even run an ICO to extend the runway, but chose not to do so because it lacked conviction that a token would have real demand. According to the article, that left Abstract in a difficult position: meaningful surface-level adoption, but weak DeFi activity, thin liquidity, limited institutional participation and a revenue base that could not support ongoing operations. Following the shutdown announcement, Igloo said it will refocus resources on Pudgy Penguins and the PENGU token. Unchained reported that about $47 million in assets remain on Abstract, and users have been told to migrate funds through the Migration Hub or the native bridge before the network goes offline.20
Abstract2026-10-07 02:08:49Igloo to wind down Abstract and shift focus to Pudgy Penguins and PENGUIgloo Inc. is gradually shutting down Abstract, according to a statement posted by Luca Netz on X. The company will redirect its full attention to Pudgy Penguins, Pudgy NFTs, and PENGU after continuing to fund Abstract over the past 18 months. Netz said the project has lost tens of millions of dollars over two years of operations and still has not found product-market fit. He said Abstract had previously processed more than 300 million on-chain transactions, launched Portal and AGW, and brought in several global brands. Even so, growth remained constrained by a weak DeFi ecosystem, limited liquidity, low institutional participation, high costs, and falling demand for related products. Netz also said Igloo could no longer keep diverting funds from the Pudgy Penguins business to support Abstract, and that the company did not choose to raise money through a token issuance or an ICO.20
Abstract2026-10-07 02:00:59Abstract to shut down mainnet on Dec. 15 as Igloo says its L2 model did not workIgloo Inc., the parent company of Pudgy Penguins, said it will wind down Abstract, its Ethereum layer-2 network, with the mainnet scheduled to shut on Dec. 15. After that date, assets left on the chain will no longer be accessible. The closure comes less than a week after Blast announced its own shutdown, but the two cases are not the same. According to the report, Abstract had more than 4 million wallets created, over 400,000 users, 144 deployed applications, 325 million transactions, and brand partnerships with Red Bull Racing and Disney. Even so, Igloo said it spent 18 months supporting the network and lost “tens of millions of dollars.” CEO Luca Netz said the company could have launched an Abstract token or even run an ICO to extend the runway, but chose not to do so because it did not believe a token without real demand would be fair to the community. Igloo now plans to refocus resources on Pudgy Penguins and the PENGU token, while users still holding assets on Abstract have until Dec. 15 to move funds through the Migration Hub or the native bridge.20
Abstract2026-10-07 02:20:00Abstract to shut down on Dec. 15 as Igloo ends its 18-month Layer 2 pushIgloo Inc., the parent company of Pudgy Penguins, said on Oct. 6 that it will wind down Abstract, its Ethereum Layer 2 network, with the mainnet scheduled to shut on Dec. 15. Assets left on the chain after that date will no longer be accessible. The closure came less than a week after Blast announced its own shutdown, but the setup was different: Abstract had users, wallets, apps, transactions, and brand partnerships, yet still failed to sustain itself financially. According to the report, Abstract reached 400,000 users, 4 million wallets, 144 deployed apps, and 325 million transactions, while also landing partnerships with Red Bull Racing and Disney. Igloo CEO Luca Netz said the company had funded the network for 18 months and lost “tens of millions” of dollars. He also said Igloo could have launched an Abstract token or even run an ICO to extend the project’s runway, but chose not to do so because the team lacked confidence in the token’s real demand. After the shutdown announcement, Igloo said it would refocus resources on Pudgy Penguins and the PENGU token. PENGU fell about 5.6% on the day of the news to around $0.009. Users with assets on Abstract can migrate through the Migration Hub or the native bridge, which currently has an approximate three-hour delay.20
Abstract2026-10-07 02:08:03Luca Netz says Abstract will wind down as Igloo shifts focus to Pudgy Penguins and PENGUPudgy Penguins CEO Luca Netz said Abstract is being gradually shut down, with parent company Igloo Inc. redirecting its full attention to Pudgy Penguins, Pudgy NFTs, and PENGU. In his statement, Netz said Igloo had continued funding Abstract over the past 18 months, absorbing losses in the tens of millions of dollars across two years, while the project still failed to reach product-market fit. He said Abstract had at one point processed more than 300 million on-chain transactions, launched Portal and AGW, and brought in multiple global brands that helped build an active on-chain ecosystem. Even so, growth remained constrained by a weak DeFi stack, limited liquidity, low institutional participation, and high costs. Netz added that falling market demand for related products left the company unable to keep subsidizing Abstract from the Pudgy Penguins business. He also said Igloo chose not to raise money for Abstract through a token launch or an ICO because it lacked confidence that such a token would have durable demand.20
Abstract2026-10-07 01:36:55Abstract to shut down on Dec. 15, 2026 after Igloo spent tens of millions without finding product-market fitAbstract, the Ethereum Layer 2 network tied to Pudgy Penguins, will shut down on Dec. 15, 2026, according to an announcement released on Oct. 7. Users have been told to bridge assets out before that date through the project’s migration tools, or risk losing access to funds left on the network. On the same day, Pudgy Penguins founder Luca Netz said Abstract had been funded by parent company Igloo for the past 18 months and had burned through tens of millions of dollars over two years without reaching product-market fit. He said resources will now be redirected to Pudgy Penguins, Pudgy NFT and PENGU, and added that the team rejected launching a token or conducting an ICO despite already losing an eight-figure sum. The shutdown follows a steep decline in on-chain activity and DeFi usage. DefiLlama data cited in the report showed Abstract’s total value locked had fallen to about $9.6 million on Oct. 6 from a peak of $57 million, while daily revenue was about $2,646. The report also pointed to weak ecosystem depth, shrinking DEX volume, staff departures in August, and a token strategy that left PENGU’s main liquidity on Solana rather than on Abstract itself.20
