In the past few weeks, the Pudgy Penguins project team transferred about 2.1 billion #PENGU tokens to centralized exchanges worth approximately $66.6 million. On Monday, July 28, a transfer of 206.9 million PENGU worth about $8.9 million was made.
Experts believe that such a large movement of tokens within the team may signal potential liquidation and a drop in prices, especially against the backdrop of the impressive rise in the token, which has increased by 240% in a month.
Another alarming fact for the PENGU community was the activation of scammers who began using various schemes to deceive token holders. For example, fake websites were discovered that posed as the official Pudgy Penguins page and were often spread through malicious advertising.
The hype around PENGU was largely driven by social media buzz rather than any significant events. For example, the cryptocurrency exchange Coinbase (NASDAQ:COIN) changed its avatar to an NFT featuring chubby penguins, and that was enough for the token's price to rise by about 60%.
Shortly before this, the U.S. Securities and Exchange Commission (SEC) processed new applications, including one from Cboe for permission to trade the PENGU-ETF from Canary Capital, which was submitted back in March.