Andy Warhol’s painting called ‘14 Small Electric Chairs’ was sold on the first cryptocurrency auction. The auction distributed 31.5% of ownership rights for the 2-meter high painting, raising around $1.7 million.
The auction for the art piece which is valued at $5.6 million was initiated on July 25 as part of a beta launch of the Maecenas blockchain platform which partnered up with Dadiani Syndicate gallery in London, UK. Over 800 bids came in through smart contracts for the 1980 piece.
The painting was divided into unchangeable digital certificates based on ethereum. Buyers were able to spend either bitcoins (Bitcoin), ethereum (ETH/USD) or platform’s native tokens called ART. The art platforms has initially outlined the goal of selling 49% of the painting and provided a detailed explanation of how the sale would be undertaken. According to it, the buyers will not actually own the painting but have instead purchased a share of ownership that will be tied to them even if the painting goes up for another sale.
WHY IS IT IMPORTANT?
1) Andy Warhol’s painting has thus become the first piece of fine art to be sold through a blockchain. Those that own a share of the painting can sell it on at the sama platform at the time of their choosing and for any price, everything will be recorded on the blockchain.
2) Only 8% of all artwork of the global art marked is sold online. Implementing blockchain even in such a traditional community will undoubtedly boost that figure. Moreover, the technology will help to eradicate cases of fake art dealings, the market which currently makes an astonishing $6 billion a year.