Caution Advised for Pudgy Penguins Crypto Due to High Risk and Centralization Concerns

The Pudgy Penguins (PENGU) project exhibits significant red flags that warrant caution. With a market cap of only $3,160 and low liquidity of $315.60, it presents high risks for investors. The project’s metadata is mutable, which can be a red flag as it suggests the project can alter essential information post-launch. Notably, a large portion of the supply—95%—has been transferred by the creator to other wallets, indicating potential for wash trading or pump-and-dump schemes. The top holders control roughly 8.81%, amounting to sizable ownership concentration. The project also has no mint or freeze authority, which limits control but raises questions about its security protocols.