PENGU Token: The Basics
Let’s start with the key details:
Risk Analysis: How Secure Is PENGU?
When investing in a token, you want to know if it’s safe. Let’s break down the risk factors for PENGU:
1. Open Source
✅ Yes, PENGU is open source.
This allows developers and the community to review the code. Transparency is always a plus.
2. Minting Capability
✅ No minting capability detected.
No additional tokens can be created, which protects against inflation and manipulation.
3. Metadata Security
✅ Metadata is immutable.
This ensures no changes can be made to the token’s core attributes, giving investors peace of mind.
4. Freeze Authority
✅ Freeze authority has been revoked.
This means transactions can’t be arbitrarily halted. You’re in full control of your assets.
5. Liquidity Pool Burn
⚠️ No LP tokens have been burned.
Burning liquidity pool (LP) tokens prevents developers from draining liquidity. In this case, the lack of burn introduces some risks.
6. Top Holders
✅ Top 10 holders own 0%.
This is a good sign. Ownership is well-distributed, reducing the risk of market manipulation by whales.
Liquidity Pool Analysis: Where PENGU Trades
PENGU operates across two major liquidity pools:
1. Raydium Pool (SOL-PENGU)
- Liquidity: $15.27 Million
- 24-Hour Volume: $95.44 Million
- Create Date: December 17, 2024
- LP Burn: None
2. Meteora Pool (PENGU-USDC)
- Liquidity: $3.81 Million
- 24-Hour Volume: $32.39 Million
- Create Date: December 17, 2024
- LP Burn: None
What does this mean?
The liquidity is decent, with a combined $19.08 million. However, the absence of LP burns in both pools raises concerns about potential rug pulls.
Strengths of PENGU
1. Strong Daily Volume
With over $127 million in 24-hour trading volume, PENGU has significant activity. This high liquidity ensures smooth transactions and price stability.
2. Decentralized Ownership
No single holder controls the token. This reduces risks of price manipulation or sudden sell-offs.
3. Transparent Code and Features
Open-source code, immutable metadata, and no minting capabilities make PENGU technically sound.
Red Flags to Consider
1. No LP Burn
Neither liquidity pool has burned its LP tokens. This means the token’s creators retain the ability to withdraw funds, a key factor in many rug pull scams.
2. Lack of Unique Features
While technically secure, PENGU doesn’t stand out in terms of innovation. It’s a standard SPL token without groundbreaking features.
3. Early Stage
Both pools were created on December 17, 2024. While this doesn’t inherently mean the token is unsafe, new projects often carry more risk due to limited track records.
Safety Rating for PENGU
After analyzing all factors, here’s how PENGU scores:
Final Score: 7.4/10
Risk Level: Medium
Interact with PENGU only if you understand the risks.
Should You Invest in PENGU?
Let’s face it: Pudgy Penguins has a strong community backing. PENGU’s liquidity is decent, and the technical aspects are solid. However, the lack of LP burns and its early-stage nature mean you should trade carefully.
Here’s our advice:
- Do your research.
- Don’t invest more than you can afford to lose.
- Monitor liquidity movements closely.
If you’re a fan of Pudgy Penguins and believe in the project, this token could be a fun addition to your portfolio. Just make sure you’re aware of the risks.
That’s a Wrap
PENGU isn’t perfect, but it’s not a disaster either. Its secure code and active trading volume make it appealing, but the LP burn issue is a significant drawback.
Are you ready to join the Pudgy Penguins ecosystem, or are you holding back? Let us know in the comments below and if you are looking for a full detailed report of this token contact us here.
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