As the art of the nonfungible token (NFT) continues to evolve as an industry, a new trend is rapidly emerging: NFT physical galleries with digital unmistakable pieces of unique artwork. Recently the biggest bitcoin (BTC) event in history – Bitcoin 2021 conference – represented peer-to-peer pop-up art gallery NFT with artwork from more than 30 different cryptographic artists.
Teodora Atanasova, VIP Relations Manager and founding member of Nexo – a company that supported Bitcoin Art Gallery – told Cointelegraph that over 100 works of art were sold during the two-day conference: , so in the crypto industry. She added: “We have to bring crypto to people’s eyes and touch.”
Popular cities suitable for cryptocurrencies such as Miami they are not the only places where NFT art galleries appear. Earlier this month, a pop-up window from the NFT art gallery took place in Dallas, TX for the first time. The event was hosted by Artist Uprising, a creative talent agency in Dallas, and featured several individual works of art by breakthrough NFT artists who have jointly earned over $ 1 million from online digital art sales in the past month.
Merrick Porchéddu, CEO of Artist Uprising, told Cointelegraph that the event attracted more than 200 participants, with NFT sales still taking place in open auctions:
“Many copies have been sold along with two fine art canvases. The documentary “Making of NFT Gallery IRL” was also made (which will hopefully explain so much about what NFT art is about and why it is here to stay). Also, we now have three districts that want to bring our NFT gallery to their premises. “
Understanding the need for NFT physical art galleries
Although NFT physical art galleries are a significant step for the crypto industry, some art lovers or traditionalists may question the importance or even necessity of NFT galleries in the real world.
For example, an article in The Art Newspaper quotes Saskia Draxler, co-owner of the German art gallery Galerie Nagel Draxler, who noted that the digital artist Beeple – who auctioned piece of NFT art at Christie’s Auction House for more than $ 69 million – most likely will not affect art history. She added that “the NFT will not replace physical art any more than the NFT of Nike sneakers will replace real sneakers.”
While this is just one view, some believe that the confusion surrounding the NFT and the need for physical galleries may stem from a lack of understanding. Carrie Eldridge, founder and CEO of ATO – an asset management service providing royalties to artists, galleries and non-profits – told Cointelegraph that there are many pragmatists and conservatives who are not prepared to accept the NFT as a legitimate medium. “They also don’t believe that NFTs provide solutions to challenges that have plagued artists for generations, such as value tracking, royalty collection, collector’s analytics, value valuation for collectors and insurance companies, and many other complex issues,” she said.
While this may be the case, Eldridge noted that it is important to consider the views of both traditional collectors and the crypto community when it comes to NFT art: “At ATO, we are passionate about innovation while being vigilant and protecting the arts industry and those who worked for decades to make it today. “
While Eldridge makes a valid argument, it’s important to point out why the NFT’s physical galleries came first. While some may think that these positions have opened up simply due to the abolition of COVID-19 restrictions, those skilled in the art are beginning to differ.
For example, Marc Billings, founder of Blackdove – the company that launched Miami’s first NFT art gallery in June – told Cointelegraph that NFT art galleries are no different from the shape and form of traditional galleries. He noted, however, that traditional art galleries failed to meet the needs of the NFT artist, both in terms of technology and collectors’ interest, opening the door to specialized NFT galleries. Billings said:
“NFT’s artwork is more like moving painting than traditional video work, which the more conservative art world lacked. Artists and curators lack space for walls to showcase their works and voices, in which the NFT Gallery has a unique Handle position. “
In addition to NFT digital artworks that are displayed in real spaces, NFT artists have also begun to create physical pieces associated with their digital creations. Not only do the NFT’s physical art galleries allow these pieces to be displayed, but they also help attract mainstream interest.
For example, NFT artist Taylor Good – also known as “War Comfort” – told Cointelegraph that by creating physical soup cans tied to a digital NFT, his pop-up window in bitcoin 2021 attracted collectors who were new to the NFT space.
Echoing Good, crypto artist Sergey Gordienko – also known as “Do What You Love Artist” – told Cointelegraph that he offers physical pieces of NFT art to traditional collectors along with their digital versions. “I think it adds value to a physical work of art,” he said.
The art of NFT and the meaning of blockchain
While it is important to realize the need for NFT physical galleries, Billings also pointed to this blockchain technology plays an important role in the whole ecosystem: “Blockchain allows recognition of the hard work of various members of the community and appropriate compensation.”
Blockchain is, in fact, one of the most important features of the NFT in general, as it has created a completely new financial model for these assets. This allowed creatives to make more of the profit as value is exchanged across the blockchain network. In addition, proof of ownership is obtained for collectors, as all transactions are performed and recorded on the blockchain.
He explained well that NFT art allowed him to receive profits in real time, instead of waiting for the galleries to accept, price and then sell the item:
“The age-old problem of an artist knows your value, asks for it and in fact acquires it. While NFTs are simply a blockchain tool, the creative world is fortunate to be one of the first vehicles or use cases, because what NFTs are essentially a direct exchange of value. “
In addition, the Aave Decentralized Financing Protocol (DeFi) is currently working on developing a platform for using the NFT as collateral. Jordan Lazaro Gustave, chief operating officer of Aave, told Cointelegraph that the company considers the NFT to be a preservation of value, usually in the form of works of art. He noted that Aave plans to use the NFT as a guarantee of art, just as a bank would offer a line of credit to someone who wants to buy a piece of fine art.
While Lazaro Gustave could not reveal all the details of the development platform, he noted that traditionally substitutable assets such as stablecoins have been used as collateral in the DeFi space. However, he pointed out that NFTs are not functional and that Aave developed a way to use NFTs as collateral on a scale.
Will NFT art galleries continue the trend?
While the benefits provided by NFT’s physical galleries are evident, it is unclear whether these spaces will continue to emerge around the world – or die as the NFT’s artistic hype disappears.
He explained to Porchédda that while he initially thought that NFT art was a bubble that would soon emerge, he now believed it was a trend that would change and remain, adding: “People are incredibly innovative and approach it in a unique way where we provide troubleshooting again. “
Billings further noted that there is no traditional gallery that can keep up with technological innovations coming from the NFT art space. In response to Billings, Eldridge remarked that NFT art is not a revolution, but an evolution of an old permanent art form: digital art. He said:
“The reason digital art hasn’t caught on in previous decades is its inability to follow it. The NFT is only an “indicator” of where the work of art is stored, with the goal of adding value to its confirmation is limited or rare. The NFT needs to be explored and there are many enthusiasts embracing this innovation. “