Pudgy Penguins is ending development of its mobile game “Pudgy Party,” which launched in 2025. Multiple outlets report that the team is discontinuing the project after operating it for less than a year, citing challenges faced by Web3 gaming more broadly, particularly around finding a sustainable monetisation model.

The company says it will redirect its resources toward “Pudgy World,” its existing web-based experience. Cointelegraph and Decrypt describe the move as part of a broader pattern in the sector, where Web3 games shut down after struggling to achieve long-term business viability. NDTV similarly links the decision to the wider difficulties Web3 gaming faces in generating sustainable revenue.

No sources provide details about user refunds, timelines for the shutdown beyond the discontinuation and end of development, or specific performance metrics for the game. The reporting is consistent that the gaming lineup will now center on Pudgy World rather than the Pudgy Party mobile title.