Ah, the comedy 'giant baseball bat' amusement prize.
And now...there's one with Sonic on it. Sometimes there are squeeky hammers and other times bats, but they're big, inexpensive, and easy to put branding on so they're the perfect pick for fairs and arcades. In this case it's Tokyo Joypolis that had this as a prize. It's all blue, but has a nice amount of Sonic elements like star bumper in a band, stripes with stars, & a nice modern Sonic art w/logo & winged ring in the middle. The amount of branding makes this seem more quality and a nice thing to collect. It is likely an exclusive item.