Articles form Bloomberg and other major news outlets recently have reported on the development of Blockchain technology to track the sale of art. An article appearing in Bloomberg on February 28, 2018 states,
Blockchain is a potentially revolutionary technology for all sorts of industries, from finance to food safety, social media and retail.
Once a work of art is registered on the Blockchain by an artist or reputable gallery, it’s provenance is established beyond question. Again, Bloomberg explains how systems using the Blockchain to record provenance will revolutionize the system of art certification.
Provenance is the history of ownership of a work. Proving that pedigree is currently a painstaking and long process often done by hand, sifting through paper documents and receipts, and is often inconclusive. Lack of proper provenance is what helps make it easier for con artists to produce fakes. Without it, many other transactional aspects, like insuring pieces or lending against them, become difficult. [Bloomberg, Feb. 28, 2018]
ArtChain.info has established a system of establishing provenance using the power of the Bitcoin Blockchain to enable artists, galleries, and collectors to protect their valuable works.
This same ArtChain.info art registration website can also help to maximize sales opportunities by assuring buyers of provenance but also to show buyers this art certification system that other artists and galleries do not yet have. What the article fails to discuss is the sales power of being able to offer buyers of art the surety that goes with ArtChain.info certification. A card beneath the description of a painting that displays the ArtChain symbol and text announcing that the work’s provenance is protected beyond question will set galleries apart from those that offer no protection for their customers.
The Bloomberg article also discusses the three-way race between ArtChain.info and other firms, to create the one art registry that will be the industry standard. We are confident that ArtChain.info will become this standard because our Blockchain registration system is the clearest, easiest-to-use and most decentralized of any of the art certification systems.
This new system represents a significant change for the art world, a sometimes conservative world reflected in the fact that the retail spaces for art impose the rule of QUIET PLEASE on their customers. Unlike many other businesses and aspects of life, some of the biggest participants in the industry do not want their names known to the public. In fact, there are many collectors and others who do not want their identities revealed in relation to art purchases or wish to publicize their art collections. ArtChain.info and the other certification sites that use the Bitcoin Blockchain allows registrants to be completely anonymous, while still registering their purchase. Bloomberg confirms this aspect of registering artworks on the Blockchain.
At the same time, the owner's identity would remain secret, which is often an important issue for large, wealthy collectors. The decentralized aspect of the blockchain, which stores and verifies coded information across multiple computers, eliminates the costly middleman and the risk and suspicion that sometimes comes when information is held by a single entity.
One, unique Bitcoin address is created and assigned to each artwork- representing the first transfer of a tiny amount of Bitcoin to the address that represents the piece. As the piece is sold, the new owner registers the purchase of the artwork- either anonymously or they can name themselves as the owner- and that same tiny amount of bitcoin is transferred to the address of the new owner of the piece.