The blockchain technology continues to get more attention from institutions and governments across the world. The Ethereum blockchain is now set to be used this month to conduct the auction of Andy Warhol’s 1980 work 14 Small Electric Chairs for cryptos.
The report by Forbes revealed that the auction will be conducted by Dadiani Fine Art in London’s Mayfair district, in collaboration with Maecenas Fine Art, a blockchain platform. The report further added that 49% of the total Warhol pieces will be up for sale on the 20th of this month, with the auction house set to accept Bitcoin and Ethereum as forms of payment.
The auctioneers value the piece at $5.6 million, which represents 732 BTC but would most likely change due to the volatility of the Bitcoin price. The reports noted that the reserve price stands at $4 million, with the auction house advising potential buyers to follow the rules set in place.
Even though this wouldn’t be the first time that cryptocurrencies are used to purchase art pieces, it is believed to be the most expensive and high profile sale of art using cryptocurrencies. The founder of Dadiani Syndicate, Eleesa Dadiani while talking about this latest development stated that;
We aim to render the future of fine art investments to global reach. The cryptocurrency will broaden the market, bringing a new type of buyer to art and luxury.
Dadiani views herself as the “Queen of Crypto,” claiming at an earlier interview with The Times that;
the world’s wealthy are looking for new ways to invest and the millionaire is changing.
She wasn’t the only one with this view as Maecenas Chief Executive, Marcelo García Casil stated that he believes the sale of this art piece “would help transform the art market.” He added that;
We’re making history. This Warhol is the first artwork of many more to come.
According to the reports, the auction will be carried out using the Ethereum blockchain, with a smart contract to be deployed to determine the final price of the painting.
Even though the blockchain technology is making a significant impact in other fields like finance, transport, health, education and others, not many have thought that the impact would extend this much to the art industry.
The co-founder of blockchain identify company Codex Protocol, Jess Houlgrave recently revealed that more than 40% of all art pieces currently in the market are fake. The blockchain technology can, therefore, be very important as its traceable records on public database will allow buyers to verify their pieces before purchasing any artwork.