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Bank of digital assets in Switzerland Sygnum is selling NFTs that reflect fractionalized ownership of a Picasso picture.
centred on digital assets Sygnum, a Swiss bank, has partnered with art investment business Artemundi to offer $6,000 fractional ownership shares in a Pablo Picasso artwork.
Shares representing ownership over $3.68 million Picasso painting, “Fillette au béret,” will be tokenized and issued via blockchain technology, allowing a wide variety of investors to gain exposure to the artwork.
The nonfungible tokens (NFTs) may only be acquired by sophisticated and institutional investors through Sygnum Bank, with secondary trades taking place on SygnEx, the bank’s digital asset trading platform.
Trades will be paid in Swiss Francs (CHF) using Sygnum’s native CHF stablecoin, DCHF. Swiss law will recognise fractional ownership of the picture.
The 1964 artwork, which portrays a beret-capped youngster dressed in vividly coloured clothing, was last sold in 2016 for $2.48 million. The physical painting will not be sold, and it will be kept in a high-security facility when not lent to museums for exhibition.
Javier Lumbreras, co-owner of Artemundi, underlined the revolutionary value of fractionalized ownership via NFTs, stating:
“Artistic, cultural objects of universal appeal, once reserved for an elite group of collectors or the museums, can now be safely and directly owned without the burden of high entry barriers.”
“The art market is absurdly opaque and inefficient, but these traits will soon be relics of a bygone age,” he added.
Picasso on the blockchain
Sygnum is not the first company looking to tokenize the work of Picasso.
In June, Soethby’s auction house announced it had teamed up with Mira Imaging with plans to auction Picasso’s work “Le peintre et son modèle” alongside an Ethereum-based non-fungible token created by scanning “every micron” of the painting’s surface to create a “unique encrypted signature” representing the work.
The NFT might be scanned with a Looking Glass scanner to establish the work’s authenticity. However, Sotehby’s cancelled the NFT deal, and the artwork sold for $3.12 million without a nonfungible equivalent.
Unique, an artist group, also launched “The Burned Picasso” initiative last month.
A single community.
Following the presentation of a Picasso sketch at a gallery in Denver, an NFT depicting the artwork was minted at the end of June, with the actual version of the painting being burned.
We burned a Picasso and turned it into an NFT…
— The Burned Picasso (@burnedpicasso) July 15, 2021
The NFT auction will run for the next two weeks, with a starting price of 0.25 ETH (about $500). The winner of the auction will also receive the framed charred fragments of original artwork.
In 2018, John McAfee collaborated with DLT platform Maecenas and cryptocurrency exchange Ethershift to auction off an ERC-721 token reflecting ownership of a Picasso painting.