The Influence of Crypto Art - Blockchain
NFTs, or non-fungible tokens, are a sort of cryptocurrency created on a wise contract platform such as Ethereum. Some refer to NFT's as crypto art, they're unique digital objects that can be trendy to own or more profitable to trade. Consider them as digital collectible cards. They generally begin as something only fans care about, but if you get a rare one, it could be worth a great one day.
NFTs are made on Ethereum's blockchain, which can be immutable, meaning it can't be altered. Nobody can undo your possession of an NFT or recreate the specific same . They are also"permissionless," so everyone can create, purchase, or sell the NFT without asking for consent. At length, each NFT is unique, and may be viewed by anybody.
A well known traditional street artist who's pivoted into dabbling with the NFT space is Shepard Fairey
World renowned bluechip artist Damien Hirst has begun accepting Bitcoin and Ethereum as payment for his artwork.
2: Authentication of Artwork
One of the most troubling parts of the art world is artwork authentication. Galleries, dealers and buyers spend thousands to authenticate artwork, to only find it may be fake sometimes. Regardless, the service makes a dent in your pocket when purchasing artwork and having it authenticated.
Blockchain solves authentication completely. With blockchain, using a QR code, we'll be able to track how many individuals have owned this piece. When the transaction happened and for how much.
Let me simplify it for you; there's a QR code attached to ever piece of artwork. Each QR code is unique to only this piece of artwork. All the transactions are recorded on a transparent blockchain using a token. This token or tokens authenticate your artwork. When an individual sells said artwork to a gallery we'll say. What will happen is, not only will the individual give the gallery the art, they will also send token attached to the artwork to the galleries wallet address. Crypto Art really is the future, not just the art itself like NFT's but the utilization and flexibility they allow us to have.
When the gallery plans on reselling this piece of artwork, they have authentication for it on the blockchain. Anyone looking to buy the artwork, does not need to worry whether the artwork is real or fake.
For further information on NFT's, check out are extensive guide on them!
3: Artwork share distribution
Publicly traded companies on the stock market issue company shares, in order to be a publicly traded company. Each share represents an ownership in the company, the more shares you own from said company .. the more you own of this publicly traded company. New shares may be offered by the company, though this does dilute the price of each share for said company.
Now imagine the same thing but instead of a company, an expensive piece of art .. like the Mona Lisa for example. If someone was to buy the Mona Lisa, digitize and issue shares representing ownership of it. You own shares on the blockchain of the Mona Lisa, so you technically own a part of this famous painting. When the Mona Lisa is sold off from a gallery to a private buyer at an increased value, you profit off the sale of the artwork. You're also able to trade your shares to other buyers, similar to common stock for a company.
Masterworks is a company who does this already, one of many. The digitized this Claude Monet piece, sold it for a 10x return and distributed profits to its investors.
In the future all the artwork in the world will be attached to an NFT (Non-Fungible-Token).
4: Transparent market analytics
When it comes to investing in Artwork, one of the most tedious tasks is finding out analytical date on an artist or their specific artwork. There's not many date bases that provide this information on the internet and the ones that do are centralized. Meaning, they essential control the data, now i'm not saying that their date is incorrect or manipulated but at the end of the day, a company can insert any sort of data to say promote an artist.
With blockchain, we won't need use the services of these online art databases. We will simply look at the analytical data on the blockchain for both the artist and their specific artwork. Taking the research into your own hands, and best of all .. it's all free and publicly shown on the blockchain for everyone to transparently see and have access to.