Lowering Market Entry Barriers

Today, the market entry price for a collector equals the lowest price of all artworks of a specific artist that are offered for sale at a given moment in time. Moreover, this market entry price regularly has to be seen as rather theoretical, as there is a significant likelihood that a collector or supporter has no specific interest in the artwork selling at the lowest price. Consequently the actual market entry price regularly will be significantly higher or even non-existing, as no artwork is publicly offered for sale at that time. Artist tokens by nature reflect a fractionalized participation right. Consequently, Artist tokens have a lower price compared to the average price of an artwork of an artist. Thus, artist tokens lower the market entry price and help to significantly lower the market entry barriers that need to be overcome in order to (financially) benefit from an artist’s long-term success. Moreover, transaction costs in artist tokens are negligible, as no physical delivery is associated.