The controversial return of Pudgy Penguins founder ColeThereum
Cole Villemain (aka “ColeThereum”), the Pudgy Penguins co-founder who left the challenge after allegations of misusing its treasury, is promoting NFTs once more.
On Sunday, the controversial founder previewed his new assortment launching on Robinhood Chain to over half one million views.
That spotlight was break up amongst these celebrating Cole’s return and an equally-sized inhabitants who remembers the disappointing crypto initiatives from his previous.
Villemain confronted allegations of treasury misuse at Pudgy Penguins, and he had loads of earlier controversies. In August 2021, for instance, blockchain sleuth ZachXBT profiled certainly one of his pre-crypto ventures, a dropshipping website known as eBoy Outlet.
That retailer’s on-line evaluations, in response to ZachXBT, had been “stuffed with situations of shoppers not receiving orders, refunds, or responses from help.”
Villemain denied wrongdoing and claimed to have refunded clients who did not obtain the merchandise they ordered.
He additionally based My Fucking Pickle, one other $NFT assortment that crashed inside weeks of his creation. “Have to like money seize initiatives,” ZachXBT wrote.
The ground worth of these NFTs is now $13, down 98% from their June 27, 2021 excessive above $540.
Villemain’s new Robinhood Chain assortment appears to be themed round fantasy videogames, though particulars are sparse on its splash homepage. No NFTs are mintable, and Villemain cautioned, “No contract or website is reside but.”
Slightly than Ethereum, Villemain selected a brand new blockchain by the Robinhood brokerage.
That venue is already problematic. Robinhood Chain did not deal with its authentic mission of actual world asset tokenization, per the CEO’s personal admission, as memecoins overran the blockchain as a substitute.
Robinhood pitched its blockchain, which launched on July 1, as a house for tokenized shares and US Treasuries. Protos documented pockets drainers, phishing pages, rug-pulls, and collapsing memecoins proliferating throughout Robinhood Chain throughout early July.
Villemain’s X bio affords his personal disclosure, “All tweets are sarcasm or theatrics and never monetary recommendation.”
Pudgy Penguins cell sport axed after dropping tens of millions of {dollars}
Nostalgia for NFTs and their -98% returns
Nostalgia appears to be Villemain’s whole gross sales pitch. He described his personal advertising and marketing plan as “working again one of many oldest methods within the e book of 2021 $NFT initiatives,” and declared himself “delusional sufficient to consider I can drop the #1 $NFT on Robinhood Chain.”
Not everyone seems to be feeling wistful. “The house by no means adjustments,” posted one developer.
“Similar man who did early meme $NFT money grabs, co-founded Pudgy Penguins, then acquired kicked out after treasury-drain accusations is now launching a brand new $NFT challenge on Robinhood Chain. Half of Crypto Twitter is performing like none of that ever occurred.”
One other X consumer predicted a repeat disappointment, “This isn’t the primary time he’s launched one thing and rug pulled it utilizing his luck with PP as a cosign for legitimacy.”
“He disappeared lengthy sufficient for you and plenty of to don’t have any clue who he’s,” one skeptic posted, “Solely to return again and do the identical factor.”
Certainly, $NFT buying and selling volumes declined 97% by 2022 and plenty of NFTs declined 98%, together with once-six-figure NFTs that crashed 99%.
On January 5, 2022, an investor alleged Pudgy Penguins founders drained the challenge’s $ETH. The subsequent day, $NFT holders voted the founders out by means of a group vote within the challenge’s Discord.
Villemain introduced a January break from X to deal with “psychological well being.” By April 2022, the remaining leaders had bought Pudgy Penguins to a bunch led by Los Angeles entrepreneur Luca Netz for 750 $ETH, then about $2.5 million.
Netz turned the underperforming NFTs into bodily penguin toys which have moved greater than one million models by means of Walmart, Goal, Walgreens, and different non-blockchain gross sales venues.
