With the skyrocketing PENGU token, can Abstract Chain break through the crowded L2 landscape?
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With the skyrocketing PENGU token, can Abstract Chain break through the crowded L2 landscape?
With the surge of PENGU, Abstract Chain coincidentally marks its first anniversary since mainnet launch—how has it developed over the past year?
Navigating Web3 tides with focused insightsBy: Nicky, Foresight News
In the past month, the price of PENGU, the ecosystem token of Pudgy Penguins, has risen significantly. According to data from Bitget, between June 23 and July 23, 2025, its maximum increase exceeded 500%, currently trading at $0.038. At the same time, the floor price of the Pudgy Penguins NFT collection surged over 50%, now standing at 15.8 ETH (approximately $61,000).
On July 31, it was officially announced that the teams behind Pudgy Penguins and Abstract have formally taken on advisory roles with the U.S. government in designing cryptocurrency-related legislation. The team has made multiple trips to Washington, D.C. for policy consultations. Additionally, PENGU has submitted an application to regulators to launch a spot ETF product covering both NFT and token assets.
Riding the wave of pro-crypto momentum in U.S. politics, this development coincides with the first anniversary of Abstract Chain’s mainnet launch—the L2 backed by Pudgy Penguins’ parent company. Can this network break through the crowded competitive landscape?
As an Ethereum Layer 2 network under Igloo Inc., the parent company of Pudgy Penguins, Abstract Chain originated from Frame, an on-chain creator economy platform, aiming to build blockchain infrastructure focused on "consumer-grade crypto experiences."
Technically, it leverages zkSync's ZK technology and EigenDA's data availability solution as an Ethereum Layer 2, offering low-cost and high-speed transaction capabilities. Its official website states clearly: "We’re not trying to be the 'fastest' or 'most complex' chain—we’re focused on being the 'easiest to use,' enabling new users to interact with blockchain as seamlessly as they do with Web2 apps."
The project received early backing from institutions including Founders Fund, Fenbushi Capital, and 1kx. In July 2025, Pudgy Penguins CEO Luca Netz revealed that Abstract is seeking new funding while exploring pathways for community participation in fundraising. Meanwhile, Abstract will continue optimizing iOS experiences and its gateway app Portal, aiming to lower the barrier to Web3 adoption as much as possible.
A Year in Review: From Infrastructure to Emerging Ecosystem
As of July 2025, Abstract Chain’s total value locked (TVL) reached $45 million, with cumulative transactions surpassing 100 million.
Abstract Chain’s ecosystem centers around “consumer-facing use cases.” Recently, its official accounts have frequently promoted the following partnered projects:
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Onchain Heroes: An idle RPG game running on Abstract Chain, powered by Proof of Play. Players send heroes on adventures, earn HERO tokens, craft equipment, and compete on leaderboards. The Genesis Hero NFT floor price is currently 0.14 ETH, and the HERO token market cap is approximately $10.5 million.
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Moonsheep (SHEEP): Utilizing the innovative DN-404 standard (a fusion of ERC-721 and ERC-20), it positions itself as a hybrid project combining the virality of meme coins with the brand depth of NFTs.
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Death.Fun: A high-risk, high-reward on-chain game where players place bets, select safe tiles to avoid “death squares,” and accumulate multipliers, with the option to cash out at any time.
Beyond gaming, Abstract Chain recently announced a partnership with South Korean K-pop agency Modhaus, home to top girl groups such as tripleS and ARTMS.
Memes and Community: PENGU as a Cultural Symbol
Currently, leading meme coins on Abstract Chain are playing a central role in driving ecosystem vitality. Among them, PENGU has reached a market cap of $2.3 billion, firmly holding the top spot; ABSTER ($32 million market cap) and NOOT ($14 million) are meme tokens derived from the "penguin" IP, forming unique identities through narrative and community consensus.
For example, ABSTER brands itself as the "legendary penguin embedded in Abstract Chain’s code," with its theme of "inevitability" reinforcing users’ perception of it as a "cultural symbol on-chain"; NOOT appeals to nostalgia for retro penguins, echoing early community memories of Pudgy Penguins.
One year after launch, Abstract Chain has achieved initial progress in transaction volume, TVL, and ecosystem project incubation—particularly leveraging the strong community influence of Pudgy Penguins to attract users and developers. Its clear focus on consumer-friendly experiences and lowering entry barriers, along with collaborations like the one with K-Pop, demonstrates efforts to reach beyond traditional crypto circles.
However, moving beyond the hype of meme coins to cultivate truly sustainable, widely adopted consumer applications with lasting user engagement remains the core challenge facing Abstract Chain and its ecosystem builders.
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