While many industries are natural fits for blockchain technology, one industry that may not immediately come to mind is that of fine art.
As most of us know, the only way for the general population to find beautiful works of art is through museum exhibitions. And only the exceptionally wealthy are in a position to purchase the artwork featured at galleries and auctions. But what if the appreciation and ownership of art could be opened up much more widely? One company, monart, has an intriguing solution to this centuries-old problem.
Why the Art Industry Needs Transformation
Art has always been thought of as an area of passion rather than investment. In other words, art enthusiasts don’t necessarily purchase artwork to make money but rather to have the privilege of viewing their beauty at any time they wish.
According to a 2018 report, the global art industry was valued at just under $64 billion two years ago. The three countries that make up the bulk of global transactions in art are the United States, China and the United Kingdom (in order of total sales). While $64 billion is a huge number, it may not come close to capturing the true value of the art industry — it may only account for registered transactions and not off-book or black market transactions.
Additionally, it’s important to note that there is potential for more to enter the marketplace. While most fine art is purchased by the wealthy, what if those same pieces could be purchased in shares? That is where monart comes in.
Blockchain Technology’s Impact on the Art Industry
Consider professional sports franchises. These are incredibly expensive and usually purchased by groups. The purchase price is split up among a group of buyers with the share corresponding to the price paid. So, what if art worked the same way? monart is attempting to do just that by leveraging blockchain technology.
With a dedicated Ethereum DApp, art enthusiasts will have the opportunity to buy shares of art and art collections. In addition, because monart is implementing blockchain technology, all transactions will be completely transparent and auditable. This is incredibly important when entering into a group purchase agreement. The last thing anyone wants to see happen is for con artists (no pun intended) to take advantage of art buyers.
Although monart isn’t the only company with plans of transforming the industry through a blockchain, it does seem to have a promising approach. The company’s largest retail presence is in Beijing, which happens to be the fastest growing art market in the world. monart also has a presence in Paris, San Francisco and Malta. This should give the company a bit of an edge when it comes to procuring both artists and artwork.