Why do you need the blockchain for investing in art?
By using blockchain technology, we improve the speed, accessiblity and security of trading shares in fine art masterpieces. Most importantly, blockchain technology allows us to divide the underlying assets into easily tradeable shares with an incorruptible track record of your holdings.
How is blockchain technology affecting art investments?
Blockchain technology is having a major impact on the art market. In 2021 NFTs (Non-fungible tokens) and other forms of tokenised fine art have been a major driver in art sales globally.
The tokenisation of typically illiquid assets such as fine art allows investors to purchase smaller shares of artworks without the hassle of auctions, high fees, storage and insurance of the artworks. Traditionally in these markets large amounts of capital would be tied up for years and subject to high trading fees. This new access to a wider market increases the liquidity, benefitting investors who gain more freedom and flexibility in their investments.
How can I be sure that my holdings are safe?
Your ownership of your token holdings is protected by cryptographic keys which are virtually impossible to hack or modify. In the unlikely case that your cryptographic keys are lost or stolen, and provided that you have registered with our platform, it is technically possible to recover and/or re-issue your tokens after correctly verifying your identity and proof of purchase.
Which blockchain standard do you use for your asset tokens?
All of our token offerings are based on the Ethereum ERC20 standard. With this standard, token holders enjoy the safety of the Ethereum protocol and the assurance that their tokens can be exchanged on Ethereum.
The token transactions are done via the Fuse blockchain, because this is more cost efficient.
Is there a public record of the token transactions?
Yes, all of the token transactions are done via the Fuse blockchain and can be viewed here.
Do I get a contract for my token holdings?
In contrast to traditional investments, you will not receive a contract in the form of a document. With asset tokens, your purchases itself constitutes a smart contract that is stored on the blockchain. All the data concerning your purchase is therefore securely encrypted in your digital wallet. The general terms and conditions for purchasing asset tokens can always be accessed directly within the investment platform.