Just about everywhere you look in Palworld, you will see the surrounding world inhabited by some species of Pal. These Pokémon-like creatures all have various uses for you in battle or building your base, but with how many you can catch, you might start to feel a little cluttered, especially after catching multiple of the same creatures. If you are trying to raise your level, catching ten of each creature will fill up your Palbox quickly. Here is how to release Pals in Palworld.
How to get rid of Pals in Palworld
Palworld does not necessarily have a release option similar to Pokémon per se, but there is a rather violent way to shorten up your stock of a particular creature. When you reach level 12, you can unlock the Butcher Knife in the Technology menu. After you craft this item and equip it, you can put a Pal in your party and then butcher them for resources as if you defeated a wild one in battle.

Additionally, you can also sell Pals to the black market or other merchants. This is a good way to make some gold coins and won’t force you to directly butcher one of your pets that has helped you survive to the point you are at now.
If you have caught any human thugs in Palworld, you “release” them in the same way as Pals. To get rid of them in your Palbox, you can move them to your party and butcher them or sell them on the black market to make some coin.
With how much people try to compare this game to Pokémon, Palworld definitely wants to show the harsher side of the world if these creatures actually existed. Having to look your cute electric mouse in the eye as you pull out a knife to free a slot in your inventory is a rather intense way to loosen up the bulk.