Will blockchain revolutionize the art market? The growing number of art-tech startups aiming to bring greater transparency and transactional security to the industry as well as the adoption of the technology among the top players definitely indicates so! In order to best understand what blockchain can bring to the art market, let’s take a look at the main ways that it can be utilized, as well as the opportunities and challenges that they present.
1. Tracking provenance.
First of all, thanks to blockchain technology, all information about an artwork can now be securely stored in a tamper-proof system. As fakes and forgeries continue being a big issue, this solution promises to become a game-changer for artists, collectors and institutions.
Many are asking: What happens if the information that’s entered into the blockchain database is false or inaccurate? The question of connecting a physical work of art to the blockchain registry still remains open despite several technological solutions that are coming up in the market. At the end of the day, the recorded information is only as reliable as the people who plug it in. Read more