What exactly is Crypto Arte?
We have already discussed a bit on our Instagram and on our podcast with Lukas Azev edo & Guile Twardowski, but this post will provide more information and references about what this Crypto art market, NFT, and everything else is all about. What they are!
First, why are people talking about it? ?
Although it’s been many years since artists began to use this online marketplace to sell their art, crypto art has become increasingly popular from 2020. Now, the topic is exploding inside. The artistic community!
Everyone is talking about it, because Christie’s, the largest auction house in the world, announced that crypto art would be sold for the first-ever time.
Beeple, the artist, made the work. The auction was closed, and the final bid was only 69,000,000 dollars (382 million Brazilian reais). !
Grimes, the pop singer, also sold 10 digital artworks worth $6 million!
We’ve made it quite clear that crypto art can make a lot of money. Who doesn’t want the opportunity to make a living selling art and to be able to retire comfortably?
But It’s not all about the money. Crypto art is not the only problem, other markets with a similar system also have an environmental problem.
Let’s break it down into parts: First, what’s this for God’s sake? ?
Crypto Arte can be a unique type of digital art because it can be verified the originality of the piece.
The authenticity and ownership of a Van Gogh original painting can be confirmed using an NFT token. Crypto art can also be verified with an NFT token. Digital arts, which have a high degree of reproducibility, are unique, and the value is therefore greatly increased.
This may lead to a resignification of digital art. We see it being used for commercial purposes and for entertainment, as well as for beautiful reproductions of the same ideas. This has been a tradition that is quite different from traditional art circuits of auctions, galleries and collectors. Digital art can now match traditional art on the same market.
An NFT token is a unique token that can be tied to crypto art. It cannot be duplicated or altered. An NFT can be attached to any file type: JPGs, GIFs, MP4 music, and many other file types. You can even sell memes such as the Nyan Cat. Artists must also pay a fee to upload and tokenize their image. This fee varies depending on which platform they use. The blockchain stores this token.
Blockchain? Blockchain? ?
Blockchain technology is already in use and has been for many years. It is similar to a cash book that records virtual currency transactions (the most popular being Bitcoin), so this record can be trusted and cannot be changed.
The blockchain records information like the amount transferred, who sent it and who received it, when it was done, and where it is registered.
This shows transparency as any computer can access the information.
Blockchain technology does not only allow you to buy and sell cryptocurrencies. A specialist must certify that each Van Gogh piece is authentic to verify its authenticity. Blockchain is the specialist in fine art in the crypto world because it can verify authenticity.
Crypto Arte is a cryptocurrency that lives on its own blockchain Ethereum.
This technology can bring transparency that can be very beneficial and artists (and other professionals using similar things) feel secure to use it.
A specific cryptocurrency, Ether (ETH), is used to buy and sell crypto art.
Ether, a cryptocurrency on Etherium’s blockchain, is where NFTs are stored. One analogy is that Ether is similar to casino chips. Every casino has its own chips that you must buy with cash in order to pay, play, and receive.
You can withdraw your winnings at any time and get “real” money, just like with casino chips. While some sites permit you to purchase crypto art using credit cards, you’ll always get ETH when you sell it.
The vision for artists and buyers
Many artists have considered the possibility of making quick money with crypto art and other blockchain platforms. Buyers see crypto art and cryptocurrency markets as an opportunity to invest their money in a smart way, since the trend is for them to get increasingly valuable.
Ok, I have been told there is a problem with this. However, it seems that everyone is benefiting from it. What’s the problem?
There are many issues. First, although the trend has been positive, it’s impossible to predict what the future will bring. Second, financial speculation is a problem.
There is also the problem of artists who have already tokenized and sold arts without authorisation. It is easy to follow up on the seller to see if they have done it, but it’s more difficult to do so for artists already selling the art.
As we all know, copyright isn’t a problem that only crypto art has. It’s always difficult to reverse the situation in court.
However, the most pressing issue at the moment is the impact on the environment
Yes, it is necessary for the blockchain’s operation and to keep track of all transactions. The amount of energy required is huge!
Bitcoin, by comparison, uses more energy per year than all of Argentina, according to a University of Cambridge survey.
The chart below shows that Bitcoin would be a country if it were to become a nation.
Global warming is causing multiple environmental disasters around the globe. This energy consumption is a legitimate concern.
People in the artistic community are concerned about environmental issues. ArtStation decided not to release an NFT-specific site feature because of the backlash it received from the community.
Etherium, for instance, doesn’t have an efficient system. The technology used there is still not well developed. And, as we know, older technologies use more energy to function. Etherium’s operation is not the reason, but the crypto art. There are many other blockchains that work more efficiently and consume less energy.
It is important to note that this huge energy expenditure is a complex issue. Many countries have non-renewable energies and/or pollutant to the environment. These issues generate a great concern about energy spending and can lead to multiple impacts. It is a concern for the environment and the ecosystems all over the globe. While it’s unlikely that you will be able to stop tokenizing your art, the internet lifestyle has an impact on these issues.
Even if it isn’t your thing, it’s vital to understand why it could change the art market.
If you want to learn more, you can find links at the end to other texts and contents. For those who wish to learn more about the major Crypto art platforms, I’ll also include a link.
- Etherium: https://ethereum.org/en/
- Rarible: https://rarible.com/
- Foundation: https://foundation.app/
- SuperRare: https://superrare.co/
- Nifty Gateway: https://niftygateway.com/
- OpenSea (aggregator portal): https://opensea.io/
- Marble Cards: https://marble.cards/
- Hic et nunc (Brazilian platform): https://www.hicetnunc.xyz/