Pudgy Penguins firm secures $11m to build new L2 project

Igloo, Inc., the company behind the non-fungible token Pudgy Penguins, announced that it has raised $11 million in funding to create its latest blockchain project.

Peter Thiel’s Founders Fund led the fundraising round, which Igloo said will fund a new Ethereum (ETH)-based consumer Layer 2 solution to support crypto adoption.

Igloo eyes consumer-focused blockchain

Tuesday’s press release highlighted that Igloo will use the funds to support a new initiative called Cube Labs. Igloo intends to use Cube Labs to research and develop Abstract, a new L2 platform aimed at mass adoption of cryptocurrencies.

According to Igloo, Abstract aims to create new opportunities for crypto developers and major brands worldwide. The consumer-facing platform aims to leverage digital ownership technology and integrate daily life activities such as work, social interaction, and gaming.

Cube Labs is taking a user-centric approach to building Abstract and will soon launch it on a testnet before supporting the next wave of consumer crypto products and users’ on-chain experience.

Powered by zero knowledge

Abstract will leverage zero-knowledge (ZK) proof technology to strengthen its functionality and usability. In addition to security, users will benefit from fast and low-cost transactions powered by ZK.

The platform will also integrate ZK Stack and use EigenLayer’s data availability layer EigenDA to enhance the decentralized finance ecosystem.

“Our mission is to build the infrastructure that will support the next wave of consumer crypto applications,” Cube Cygaar, chief technology officer of Cube Labs, said in the press release.

The Cube Labs CTO noted that collaborating with platforms and other stakeholders who want crypto users to enjoy a better user experience was crucial to Abstract’s development.

Pudgy Penguins, Igloo’s flagship NFT product, has seen huge success since the new team took over from its original creators. Its brand focus has led to milestones like the launch of Pudgy Penguins-branded toys across Walmart and Target.

The fundraising campaign also received investments from Fenbushi Capital, Everest Ventures Group, 1kx and Selini Capital.