(Forbes) -- Blockchain, as one of the proposed technologies that will drive the world into the fourth industrial revolution, was at first seen as a direct conflict with the age-old banking system; cryptocurrencies posing the biggest threat.
It was a case of the old institutionalized financial system being fronted with a decentralized system that could essentially cripple the entire grip that the banks, and others, had over the world’s finances. However, the new technology blockchain and crypto has not always clashed with the more established way of doing things.
The art world, also one grounded on history, tradition and institutionalism, has had a strong and somewhat surprising affiliation with blockchain and cryptocurrency since the latter became popularised through 2017.
Now, with those foundations laid, the art world may well be leveraging the technology further to make sure it remains relevant. From the artist themselves being tech-forward, to buyers and sellers of precious artworks, the blockchain offers a lot of advantages for the ecosystem.
The link between art and blockchain
Looking back just at 2018, there are many instances where the art world and the blockchain ecosystem crossed paths. The art world has gleefully accepted the disruptive manners of the blockchain in the hopes of propelling itself forward, and the effects have been promising to watch.
Art and blockchain’s affiliation has often cropped up in mainstream media and this bubbling interest has sparked tangible results for the two sides of the coin. For example, 2018’s Ethereal Summit, a global conference about blockchain technology, emphasized the art world, even concluding the event with a live auction.
Art even faced one of the blockchain’s most promising uses, its ability to tokenize assets. In July 2018, blockchain platform Maecenas partnered with London gallery Dadiani Fine Art to offer fractional stakes in Andy Warhol’s 14 Small Electric Chairs (1980). 31.5 percent of the Warhol work went up for sale in cryptocurrencies, including Bitcoin and Ethereum.
Christie’s New York has also broken ground by becoming the first major auction house to record its sales along the blockchain when the $318 million sale of the Barney A. Ebsworth collection, saw its transactions recorded entirely on the blockchain.
So, apart from helping artists, art buyers, and sellers, the technology is even inspiring artists as was evident during the recent Art Basel Miami Beach event, which showcased nearly a dozen different panels on art and blockchain.
This inspiration to capture the essence of the blockchain and its cryptocurrencies is one thing, but as Malo Girod de l’Ain, co-founder and president of Monart, a blockchain company looking to further the technology and art world’s affiliation through art experiences and new business models, explains this inspiration was always going to strike.
“Artists live and feel the latest trends,” explains Girod de l’Ain.
“As it has always been, artists explore the latest tech paradigms, include them in their art, play, create with it. It is a source of inspirations for them. Besides, with the end of 2017 – beginning of 2018 blockchain craze, it could only attract their attention!”
How can blockchain push the boundaries of the art world further?
A lot of the groundwork and pioneering has been done in this partnership between the old of the art world and the new of the blockchain tech space, but a lot more lies on the horizon.
Girod de l’Ain explores further how he believes the blockchain space can aid the art world.
“It is Important to note, among many various press reports, that in its ten years, the Blockchain itself has never been hacked. A copy of all transactions since the beginning of the chain is stored on thousands of computers making it impossible, at this stage, to hack. So we can see the value in storing proof of ownership on the blockchain."
“Each artwork can be securely stored on the Blockchain with its basic information and provenance. At Monart, we include high definition pictures on a proprietary algorithm to certify the artwork.”
More so, the art world is an active market place in its own right, but as Pauline Houl, Monart co-founder and CEO adds in explanation, the smart contracts can aid in efficiency with these transactions.
“Smart contracts allow a transaction to proceed including predefined automatic conditions. It allows, for example, a sale to proceed without human intervention, the seller being automatically credited.”
As mentioned already, tokenization of art is already happening, to significant effect, and it is also allowing the art world to be opened and made much more exclusive.
“Artwork or a collection of artworks can be split between various owners, something that has never been easier to do before or even sought after. We are even working on creating new business models based on the Blockchain including securing artworks and transactions on the Blockchain plus sales of shares of artworks and shares of collections of artworks,” said Houl.
“Even more though, we want the art world to look and feel a little more futuristic, we want it to be reinvented somewhat. From innovative art experience which allows viewers to better discover artist’s universe with 3D virtual exhibitions, 3D tours of artists’ studios visible on PC, phone, VR headsets, Augmented Reality tools, Artificial Intelligence creations and more, these steps can open up the art world to a bigger audience.“
Crossing the boundaries
Of course, the art world is one that likes to jump on trends and have a go at immortalising their interpretation of life and its surroundings, but at its heart, it is not a tech-savvy space. Thus, the introduction of full scale, mass adopted blockchain technology would not be an easy sell to the majority of those who inhabit the space.
“The art industry at large is not too tech-oriented, it is a different culture, with a few exceptions. It will take some time for those latest tech possibilities to be generalized as a global feature for the art world. Also, some art professionals and their clients do not always feel comfortable with more transparency,” said Houl
Still, the foundations that the art world has laid in terms of its initial adoption of blockchain is remarkable and praiseworthy.
For an institutionalized and traditional space such as it is to be doing good work with the technology is a testament to an inclusive and adaptive manner form the art world.
