Warhol’s painting sold using digital tokens

Sep 12, 2018 at 23:22

A stake in a painting by Andy Warhol was acquired for $1.7 million worth of cryptocurrency, marking the first tokenized sale for an art work.

Titled “14 Small Electric Chairs”, the two-meter high painting saw its 31.5% stake sold off in a blockchain-enabled auction.

About 800 bidders, a mix of crypto fans, sophisticated investors and fine art professionals from Asia and Europe participated in the auction. As previously reported by DisruptBlock, the bidding was promoted as early as June this year.

Valued for a total of $5.6 million, “14 Small Electric Chairs” was part of the “Death and Disaster Series” created by the Pop Movement’s leading artist.

The artwork was the first of blockchain-based art investment platform Maecenas who, in partnership with London-based Dadiani Syndicate gallery, facilitated the auction through using smart contracts.

The Ethereum-based digital certificates allowed bidders to buy portions of the artwork’s ownership right using Ethereum, Bitcoin or Maecenas’ own ART token.

The auction registered six million ART tokens used, marking it as the highest bid.

Maecenas CEO Marcelo Garcia Casil said asset tokenization is easily becoming the most prominent and exciting application for the blockchain technology today.

“We’re proud to be pioneers in this space,” Casil said in a statement.

“This Warhol painting is the first of many more to come and we are looking forward to seeing and leading the financial revolution for the art market.”