That "on crack" bit isn't me being rude. That's what the guy who made these figures said — that they look like they're on crack.

Mario and Peach were made from ECW action figures while Toad was made from a Mini-Me action figure.

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Figure maker kodykoala acknowledges that they look weird, but says this is how the character might look if they were real.

Real and on drugs. With implants. And a scary mustache. The horror.

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More in the link below.

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KodyKoala's Custom Mario Action Figures [Tomopop via UK:R]