A pixel driving circuit, a method of driving thereof, and a display panel are provided. The pixel driving circuit includes a driving transistor and a compensation module, which at least includes different types of initialization transistors and compensation transistors. The compensation transistor transmits a data signal with a compensation threshold voltage to the gate of the driving transistor. The initialization transistor transmits the variable potential signal to the gate of the driving transistor to dynamically compensate the gate voltage of the driving transistor during the light-emitting phase, thereby improving the display effect.