The Pudgy Penguins NFT collection has seen a significant rise in market activity and value, surpassing the Bored Ape Yacht Club (BAYC) in terms of floor price and market cap. The collection's floor price reached 13.47 ETH, with BAYC trailing at 12.54 ETH, marking a 10.50% gap towards matching BAYC's market cap. This surge is attributed to a variety of factors, including the holiday season's increased retail spending, which boosted demand for Pudgy Penguins as gifts, and the introduction of $PENGU, the collection's associated token. Additionally, a contract with Walmart to sell stuffed toy versions of the NFTs has significantly contributed to the collection's popularity, making The Igloo Co, the company behind Pudgy Penguins, home to the world's hottest NFT collection. This strategic move has not only helped the collection navigate through the crypto winter but also sparked a Web3 boom, creating 59,216 new wallets and showcasing the brand's impact beyond digital collectibles. The collection's market value rose to $454m, becoming the second largest NFT collection after CryptoPunk.