Pudgy Penguins has caused a stir in the children's toy market with the launch of its vinyl and plushie toy collection and the interconnected online social network, Pudgy World. The announcement of the collection received almost a million views and the project sold 20,000 units worth around half a million USD in its first 48 hours, briefly topping the Amazon sales charts.

The NFT collection associated with the toys has also seen a rise in floor price of roughly 22% and a reduction in the number of tokens listed for sale. However, some have raised concerns about marketing a product to children that automatically sets up a crypto wallet and encourages NFT trading.