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Christie’s Auction House has started accepting cryptocurrency, but so far only for one item
Digital works of contemporary art are gradually gaining their place in the sun. Sooner or later, auctions should have started accepting cryptocurrencies. At least the Christie’s auction house decided to go for such an experiment, although for a start it was limited to only one piece of art.
Digital artist Mike Winkelmann aka Beeple put up 100 digital art for sale in October. Each piece cost $ 1, and the entire set was sold out in less than a second after the start of the auction. Today, non-fungible tokens (NFTs) representing these digital artwork are traded on the Nifty Gateway, operated by the Winklevoss twins (Cameron Winklevoss and Tyler Winklevoss), for over $ 50,000 each. The website lists an average resale price of $ 6,559, but this figure is misleading as it includes previous sales at low prices.
In December, Beeple held an auction offering an open edition of three works for $ 969 apiece. 601 copies were sold in five minutes for a total of $ 582,369. And in just a few days, various Beeple works worth about $ 3.5 million were sold on the same site.
Mr. Winkelmann has 1.8 million Instagram followers, and a few months ago he worked for brands like Apple and Louis Vuitton, as well as artists like Justin Bieber and Ariana Grande. In his opinion, this opens up completely new opportunities and promises huge changes in the world of art. This shift is facilitated by the Ethereum cryptocurrency, which currently exceeds $ 1,800 per token.
Everyone who purchased Beeple’s works used this cryptocurrency to pay. “Ethereum is similar to Bitcoin, but you can program rules on top of it that determine how it all works. «Smart money» is the simplest description for people, says Mr. Winkelmann. — Cryptocurrency has a number of advantages. It is very interesting».
The next step for cryptocurrency will be to enter the traditional art market. Recently Christie’s announced the sale of Beeple’s work called Everydays: The First 5000 Days — the auction will last from February 25 to March 11. The auction house then confirmed to Bloomberg that it would accept Ethereum as payment for the base price of the artwork. Auctioneers still prefer to accept their premium in dollars.
Christie’s Noah Davis, who organized the auction, believes we are on the cusp of adopting cryptocurrencies as a way of doing business, and this sale is the perfect way to try something new. But for now, with this step, the auction house seeks to attract a new audience, rather than change the traditional art market.
Noah Davis first heard about Beeple from a junior colleague who told him about the author’s hugely successful sales on Nifty Gateway. He contacted Mr. Winkelmann and spoke. The artist offered Christie’s his work with nude Buzz Lightyear, Donald Trump and Michael Jackson as a cyborg, but the auction house refused.
Another idea was to create a massive mosaic from all 5,000 works that he has created daily for the past 13 years. By the way, it also included work that Christie’s initially refused. The starting bid is set at $ 100, but the final amount is unlikely to be acceptable to most people on the planet. If the auction is successful and if the winner pays with cryptocurrency, it could be a milestone in the art market.
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