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Squid
Squids are a type of animal that live on club penguin. They only can be seen in two places.
Pizzatron 3000
In Pizzatron 3000 you are able to put them on a squid pizza. For a while no one was quite sure where they came from.
EPF
In EPF when you play the mini game Ice Fishing you can not only catch fish but now you can catch squids also. Like how the fish get Mullet, the squids can get a treasure chest.
Giant Squid
Giant Squids are large squids that a sometimes seen in the game Aqua Grabber. It's unknown what color they are, as it's two dark where they live to see. They could possibly be a gaurdian of a rare treasure like the Giant Clam and Puffer Fish.