Popular Ethereum project Pudgy Penguins revealed the NFTs from their collection that will be made into physical toys last week. The community was asked in July to submit their Pudgy Penguins if they wanted to be considered for the licensing deal. Those IP licensing deals have now been struck with the holders of fifteen penguins in an agreement that will see those characters turned into physical toys. The toys will be made by PMI, which has built toys for Fortnite, Nerf, and Nickelodeon.
On the heels of the announcement, the collection's volume spiked significantly, hitting 316 ETH in a single day.
In addition to the first batch of toys being revealed, the team also announced in the Pudgy Penguins discord that they will raise the collections royalties from 3% to 5%. "The community and the team are aligned - full step on the gas to shape and grow the Pudgy Penguins brand. These royalties will go towards expanding the company's operations," said the Pudgy Penguins Community Manager ActuallyBerko following the announcement.
The collection has been through highs and lows since its mint in June 2021 including the community voting out the original founders and buying the project from them for 750 ETH in April. At least one of the new team leads, Drew Koven, has experience working with large brands selling products in brick and mortar stores. Koven was vice president of Guess? Jeans, president of ecommerce for Steve Madden, and chief marketing officer of toy brand Melissa & Doug.
While many NFT projects grant commercial IP rights to holders, the Pudgy Penguins team is taking this approach one step further by setting up licensing and distribution deals that their community can choose to participate in.