Picasso’s Fillette au béret painting now co-owned by more than 50 investors
On 9 October 2021, Sygnum closed the subscription to its first ever Art Security Tokens (ASTs), representing the ownership rights to Picasso’s Fillette au béret painting. This landmark project was done in partnership with art investment pioneer, Artemundi, enabling investors to purchase and trade tokens in this 20th century masterpiece on the public blockchain.
The art market can be difficult to access financially, with blue chip art costing up to tens-of-millions of dollars. One of the well touted benefits of art tokenization is the potential for fractionalisation – or co-ownership – which allows investors to purchase a fraction of an artwork and participate in the financial rewards of art co-ownership at a lower price point.
However, tokenizing co-ownership of an artwork is a new concept that poses complex challenges from a legal standpoint. Co-ownership rights must be clearly defined and legally recognised so that investors are protected. Viable exit options to ensure that price appreciation can be realised are also an important consideration. Sygnum’s tokenization and legal teams worked extensively with Artemundi to solve these challenges and bring the AST to the blockchain.
At the close of subscription, more than 50 investors had subscribed to the Fillette au béret, clearly demonstrating the viability of Sygnum’s legal framework, and establishing real demand for co-ownership of art. Since the launch of the AST, Sygnum has seen substantial interest from the market in both the Fillette au béret and its tokenization offering in general. The success of this project paves the way for a pipeline of unique investment opportunities as well as secondary market liquidity for asset tokens in the future.
The Fillette au béret tokens are now available for trading on SygnEx, Sygnum’s token trading platform, and the Sygnum team is already working on other new and exciting token offerings. Stay tuned to find out more!
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