Christie’s auctioned a set of 9 CryptoPunk NFTs for almost $17 million – almost double their expected value

Agents at a Christie's auction
Agents at a Christie’s auction

Christie’s auctioned a set of nine CryptoPunk NTFs for almost $17 million late on Tuesday at their 21st Century sale held in New York. When the auction house announced the sale, it expected the CryptoPunks to sell for between $7 million and $9 million.

The realized price of the CryptoPunk NFT set was $16,962,500, the second highest sale of the night. They exceeded artworks by more traditionally popular artists like Banksy, Gerhard Richter and Damien Hirst.

CryptoPunks, which were created by the software company Larva Labs in 2017, are a series of 10,000 virtual characters in 8-bit 24×24 pixel format that were inspired by London’s punk scene. Larva Labs launched them in 2017, making them some of the first NFTs and leaders of the crypto art scene.

The CryptoPunks were offered to the public for free at the time, but creators Matt Hall and John Watkinson kept 1,000 NFTs for themselves. The set of characters auctioned by Christie’s was part of their private collection.

“Taken together, the set represents both the rarest possible CryptoPunks and highlights from the variety of attributes that are the signature of the project.”, Hall and Watkinson said when the Christie’s auction was announced.

Rare CryptoPunks have sold for over $7.5 million per character. Based on CoinMarketCap data, the full set of 10,000 CryptoPunk NFTs is worth almost $325 million. 9,250 sales have been made over the past year at an average price of $80,259.09.

Alongside the sale, Christie’s and Larva Labs collaborated with non-profit organisation SaveArtSpace, which creates art exhibitions in urban spaces. 193 CryptoPunks will be shown on New York’s bus shelters, phone booths and billboards over the next month.

“By bringing these pixelated versions of our online lives to the real world, we hope to show to the world the very human side of this technological revolution.”, SaveArtSpace said in the announcement.

NFTs, or non-fungible tokens, are unique digital items such as images, audio or videos that are based on blockchain technology, which also registers ownership. As is the case with CryptoPunks, NFTs can often be viewed by anyone online – but only one person can own them.

The sale comes at a time where the NFT and especially art NFT markets appeared to be cooling off. In April, the sales volume and prices for art NFTs had dropped by over 40% and talks about NFTs being in a bubble have been rife.

Read the original article on Business Insider

The red-hot NFT market is starting to cool off, as both prices and volumes fall. These 3 sectors are the hardest-hit so far by the slowdown

NFT art

After going stratospheric earlier this year, the red-hot NFT market is starting to cool down. Based on data from nonfungible.com, a tracking and analysis hub for the non-fungible tokens (NFTs), almost every sector has seen a decline both in terms of sales and dollars spent in the last month.

The art sector, where a piece of digital work recently changed hands for a record of nearly $70 million, lost the most ground, followed by the sports and collectibles sectors.

The total amount of NFT sales has declined by almost 28% and the total value of sales fell by almost 14% between March 30th and April 28th, data showed.

NFTs are digital assets such as videos, images, or audio that are based on blockchain technology. They are unique and not exchangeable. Often, anyone online can still access them – but crucially, only one person can own them.

Sale volumes for art NFTs declined by almost 42%, making this the sector with the biggest losses. In the same timeframe, prices dropped by 40.5%. This translates to a sales value drop from over $71 million to $41.5 million as of today.

Crypto artworks had led the NFT craze and were selling for record highs just a few weeks ago. Digital artist Beeple set a record by selling a piece of art for $69 million at a Christie’s auction in March.

Sports and collectibles NFTs followed in second and third place. Sports NFTs, which include player cards, virtual racing cars and even digital racing horses, brought in over 28% less cash and sales declined by over 20%.

Collectibles, which include some of the earliest NFTs like CryptoPunks and CryptoKitties, and are commonly part of a series, saw a price decline of 17.3% and a drop of over 32% in sales. Both prices and sales started to recover in mid-April, but are heading for an overall decline this month.

Collectibles are also the most valuable sector, worth just under $101 million at the end of April, according to the site. In March, the sector was still worth almost $122 million.

The only sector that grew in terms of both sales volume and dollars spent is metaverse – where virtual plots of land and digital real estate are sold. Despite only adding 1.4% sales volume, prices spiked by almost 32%. Metaverse NFTs sold on April 28th were worth almost $21 million.

Gaming NFTs, which are purchasable parts of online games such as a specific player, saw sales volumes decline by around 18%, but were still worth over 123% more, as dollars spent in this sector more than doubled over the last month, reaching over $26 million.

Read the original article on Business Insider

Record-breaking digital artist Beeple says the NFT craze is just like the dotcom bubble of the late 1990s

2021 03 11T160441Z_3_LYNXMPEH2A1D1_RTROPTP_4_AUCTION CHRISTIE S NFT.JPG
Vignesh Sundaresan bought Beeple’s “Everydays” NFT for $69 million

  • Beeple, whose digital NFT art sold for a record-breaking $69 million, said NFTs are like the early stages of the internet.
  • He told ‘The Street’ that even if NFTs are in a bubble, he thinks they will survive.
  • He said there was no reason why digital art should not have the same value as physical art.
  • Sign up here for our daily newsletter, 10 Things Before the Opening Bell.

Record-breaking digital artist Beeple, who sold a piece of digital art for a record-breaking $69 million, thinks the non-fungible token (NFT) market will evolve in the same way the internet did during the dotcom bubble of the late 1990s.

He told The Street that during the dotcom bubble, people realised there were a lot of worthless internet pages being set up, which they then stopped using and that he believes it will be similar for NFTs.

“There was a bubble with the internet, it didn’t kill the internet. People kept using the internet, it just kind of wiped out all the c***”, he said.

NFTs are digital items such as videos, visual elements or audio that are based on blockchain technology. They are unique and not exchangeable, so they are often viewed as collectors items. Usually, anyone can still see the NFT online, but only one person can own it.

Beeple believes digital art can have the same value as traditional art and that it will continue to be highly priced after the NFT hype is over and lower value content has been weeded out.

“If it creates emotional connection with people, it will have value,” he said. Creators and buyers can ensure that their work and investments will be worthwhile by keeping this in mind, Beeple said.

In March, a piece of Beeple’s digital art sold for a record-breaking $69 million at a Christie’s auction. The buyer later said investing in digital art was highly risky and he believed NFTs were in a bubble. Beeple himself has also echoed this and said a lot of crypto art will sink in price to the point where it becomes worthless.

Based on data collected by nonfungible.com, an NFT tracking and analysis hub, the value of art NFTs has been trending downwards for the past month. The number of sales, as well as the amount of money paid for them, have steadily been declining, as have the amount of unique sellers and buyers.

Read the original article on Business Insider

We talked with Beeple about how NFT mania led to his $69 million art sale

  • A piece of digital artwork by Mike Winkelmann, known as Beeple, sold for nearly $70 million last week.
  • Digital art backed by non-fungible tokens, or NFTs, are exploding in popularity and value, and Beeple is riding the wave.
  • In an exclusive interview, Beeple told Insider about his unexpected fortune and the future of NFTs.
  • Visit Insider’s homepage for more stories.

Mike Winkelmann, better known as Beeple, has sold the most expensive work of digital art in history.

It’s part of an explosion in the market for NFTs, or non-fungible tokens – digital tokens that prove ownership of things like Beeple’s image that you can’t even touch.

“I honestly, like, I never thought I could sell my work,” Beeple said in an interview at his home in South Carolina. “Kind of late September, early October, people kept hitting me on being like, ‘Oh, you got to look at this NFT thing.'”

Two months later, in December, he netted $3.5 million selling art backed by NFTs.

In March, Christie’s, a 225-year-old auction house that previously only sold physical art, auctioned an entirely digital piece by Beeple. It sold for $69,346,250.

“If everybody wants it, well, then it has value,” Beeple said.

The speculation in this market is so wild that when a $95,000 Banksy piece was recently burned and turned into an NFT, the NFT was sold for nearly $400,000. A cat meme recently sold for $600,000. To understand who’s paying these prices, it’s important to understand NFTs.

“I really look at NFTs as like a blank slate,” he said. “And so it’s sort of like saying, do you think a webpage is valuable? Well, I don’t know. It could be, or it could be totally worthless.”

NFT stands for non-fungible token, essentially a digital signature backed by blockchain technology that proves ownership of something.

Unlike Bitcoin, which are all identical by design, NFTs are unique. To some degree, what NFTs offer for sale is the idea of scarcity. It’s possible to buy a token that represents art in the physical world, but NFTs also back digital assets like an image or a tweet.

“So May 1, 2007, I started doing a sketch a day, every single day, start to finish, and uploading it online,” Winkelmann said. “And after a year of that, I learned a lot about drawing. Like, I got much better at drawing. I was still very, very bad, as you can see from the Christie’s piece. But I learned a lot.”

Beeple_THUMB_V1
Mike Winkelmann, better known as Beeple.

Beeple’s popularity caught the attention of Christie’s in December. They decided on a collage of his first 5,000 days of work that forms a square of 21,069 x 21,069 pixels. To help make his digital art more accessible, back in December, Beeple provided a physical product along with the NFT for his digital art. But for Christie’s, being completely digital is what made Beeple’s work unique – and all the more valuable.

“It’s really a radical gesture to offer for sale something without any object, and we might as well lean into that,” said Noah Davis, specialist in Post-War & Contemporary Art at Christie’s.

In the media, Beeple has been compared to artists like Banksy and Warhol, though his paid work has been as a graphic designer, with clients like Louis Vuitton, Nike and Apple.

“So I don’t really like the term artist because it sounds very pretentious and douche-y,” Beeple said.

“There’s an interesting parallel between Mike and Andy Warhol in the way that their careers developed,” Davis said. “Andy also started as an illustrator working in, basically, a gig economy.”

Critics have compared him with artists like Warhol, Banksy, and the Italian artist who taped a banana to the wall of a Paris art gallery.

“I’ve been thinking about the banana a lot, talking a lot about the banana,” Davis said. “It’s the dumbest idea, and you are basically celebrating a lack of creativity, like the bare minimum of creativity, but with Mike, it’s a ritual assignment of value that is celebrating 13 years of hard work of him doing this for no financial gain.”

For Beeple, the pace of change has been mind blowing. Back in the olden days of 2020, Beeple’s NFT-backed “Crossroads” sold for $66,666.

“At the time it was like, oh my God, I sold a piece for 66,000,” Beeple said. “It was just, like, insane.”

In December, he sold $3.5 million worth of art in one day. Then, on February 26, Crossroads was resold on a secondary NFT market for $6.6 million, of which Beeple got a 10% cut.

Then in March, Christie’s sold the 5,000 image montage by Beeple for $69.3 million.

Read the original article on Business Insider