PENGU, Pudgy Penguins’ native token, started trading on Binance, registering its first price rise in the market. However, traders have complained of technical problems, as the listing was volatile. Binance became one of the few exchanges that listed the token, with users reporting errors that have turned into losses.
According to users, the token’s market cap was $350 million 30 minutes after it was listed on the exchange. At the time, the total market cap of the token was $3.5 billion, leading users to incur personal losses. After Binance realized its mistake, it made efforts with Coinmarketcap to rectify the error. During the initial trading period, the token traded within a normal range, starting at $0.0032 before rising to $0.032.
Binance’s mistake with PENGU’s smart contract causes issues
During the listing of PENGU’s information, Binance mistakenly revealed its smart contract. After a while, the exchange deleted the token address. During the period that Binance displayed the token’s smart contract, some bots were able to snipe the token.
After a while, the token’s details were widely available on its Solana profile page. The information was integral to traders as it helped them differentiate the real one from other copycats and similar names. Early traders also encountered great risk, as some orders were filled with the wrong price through illiquid pools.
Trader’s orders were filled at a price of $0.70, leading to a wipeout of most of their portfolio. Although volatility is not new to new tokens, the expectations from traders increased the issue, causing their portfolios to get wiped out. For their errors, Binance has announced a new 135M PENGU airdrop to all affected users. The exchange also clarified that the airdrop will not cover traders who incurred losses through DEX swaps.
Pudgy Penguins suffers a drop after airdrop announcement
The PENGU token airdrop was a factor that helped the Pudgy Penguins NFT collection. Traders who wanted to participate in the airdrop traded the airdrop, pushing its price to $100k. Pudgy Penguins has only 8,888 items and has quickly risen to the third most valuable NFT. However, the NFT price dropped drastically after the airdrop announcement.
Pudgy Penguins NFT dropped from 35 ETH to 15 ETH. During the hype period, some sellers sold the collection at its high price, while others suffered losses because they bought close to the high price. Pudgy Penguins saw a massive all-time high in 2024, surpassing the previous NFT boom. However, the collection will need to look for a way to interest its users after the token launch.
Although the brand looks strong, traders will continue to watch PENGU’s price. The Pudgy Penguins collection escaped the bears after its team infused things beyond crypto. The project had real-world uses, enabling the mass adoption and sales of the project.
The post Binance’s listing mistake and leaked smart contract adds to PENGU’s volatility first appeared on Coinfea.
