The current boom in NFT art has led to new partnerships between bricks-and-mortar art galleries and brokers and blockchain-based platforms, such as Cryptovoxels, Decentraland, and Somnium Space, where such art can easily be displayed and admired.
Venerable art auction house Sotheby’s has just announced via Twitter that they have set up a digital replica of its London galleries in the blockchain-based virtual world of Decentraland, as part of Natively Digital, an inaugural curated sale of Non-Fungible Token (NFT) artworks (along with a discussion room on Clubhouse today):
Artnet News reports (this site is paywalled so use the incognito mode of your web browser to see this article):
Sotheby’s virtual gallery is a twin of its New Bond Street outpost, complete with five ground-level galleries—but instead of London’s tony Mayfair enclave, it is located in Decentraland’s prime art hub, known as the Voltaire Art District (map coordinates: 52,83).
A virtual version of Sotheby’s avuncular London commissionaire Hans Lomulder…welcomes visitors at the gallery entrance, top hat and all.
The NFTs that will be for sale include both the work of early, pioneering crypto artists in the field and more recent blockbuster stars; some of the names represented in the sale are Rhea Myers, Lethabo Huma, and Larva Labs. Recently, Christie’s scored a huge win with the $16.9 million sale of 9 Cryptopunks NFTs manufactured by Larva Labs, so that listing in particular is likely to score comparable dividends for Sotheby’s.
If you want to visit the virtual Sotheby’s in Decentraland, read my step-by-step guide on how to get started, then type /goto 52,83 into chat (note that you should also be able to visit Decentraland as a guest, without setting up an account). Enjoy the art!
What do you do with a $69 million artwork that doesn’t physically exist?
That’s the question faced by the Singapore-based investor calling himself Metakovan, who made headlines last month when he bought the digital artwork “Everydays: The First 5000 Days” by the American artist Beeple at Christie’s.
The work is a non-fungible token (NFT) – a new type of virtual asset that has its ownership status and authenticity verified by blockchain. NFTs have exploded in popularity in 2021, with prices skyrocketing.
Metakovan, real name Vignesh Sundaresan, plans to put the artwork on display in four virtual world environments. He is working with architects to design gallery complexes that the public can enter via web browsers or virtual reality technology.
It is clear to anybody that is paying attention that the NFT (Non-Fungible Token) boom is sparking intense interest and resulting speculation in the blockchain-based virtual worlds where such NFTs can be displayed: Cryptovoxels, Decentraland, Somnium Space (all already launched and seeing more and more business) and The Sandbox (which launched its first phase on March 31st, 2021). It seems like every second room on the hot new drop-in social audio app Clubhouse is about NFTs and how to get into the market.
Market speculation in the first three blockchain-based virtual worlds has only intensified recently, with previously unheard-of trading volumes and rapidly escalating prices as bidding wars break out over virtual properties. Here is a graphic linked to from the aforementioned Reuters article, showing just how suddenly land values have jumped in Decentraland (and I’m quite sure that early investors are rubbing their hands with glee!):
And some big-name companies are being attracted to the blockchain-based virtual world marketplace (quotes are from the Reuters article up top):
In what will be one of the biggest names to join the party, videogame maker Atari told Reuters it planned to launch its own blockchain-based virtual world and would soon announce details.
Online environments are going to be “very very big”, regardless of fluctuations in the price of bitcoin, said Frederic Chesnais, head of Atari’s blockchain division and the company’s former CEO. NFT real estate could one day fetch millions of dollars, he added.
Atari, ahead of its plans to open its own blockchain-based world, has licensed a retro arcade within Decentraland and is due to open a casino.
Among the people interviewed for the Reuters article was the creator of Cryptovoxels, Ben Nolan, who expresses caution in the current feverish NFT market:
“I expect that there’ll be a crypto winter in the next couple of months, the whole NFT boom will explode and then all the value will absolutely collapse,” said Ben Nolan, founder of the virtual world Cryptovoxels.
“Doing NFTs as an investment or as a way to make money is really ill-advised.”
However he does see a future for virtual worlds and NFTs.
“Do I think most people will use virtual worlds? Probably not, but I think a lot of people will and I think NFTs are a big part of that growth,” he said.
“Actually walking around with another person in a virtual space and looking at art together is a really nice way to spend time,” he added.
We can expect that more companies will enter the blockchain-based virtual worlds marketplace, attracted by the possibility of making profits from virtual real estate—whether that real estate is used for galleries to show NFTs or not.
Interesting times! I choose to remain safely outside the fray, peering in occasionally to write the odd blogpost—emphasis on odd 😉 . The following are links to all my previous blogposts written about four of the currently available (or soon-to-be-available) platforms:
Were you aware that the blockchain-based virtual world Cryptovoxels has a flourishing art scene?
More and more often, I see announcements about art galleries and installations in Cryptovoxels, both regular art and blockchain art (the production of which is described at length in this article). Good sources of information about openings and events are the official Cryptovoxels Twitter and Discord channels.