Cryptocurrency investments exploded in 2017 thanks to the rise in value of Bitcoin and the international interest that followed it.
At the same time, Bitcoin’s popularity helped to introduce the wider world to the incredible technological (and disruptive) potential of the blockchain. Though its profile helped to usher in an era of new cryptocurrencies and blockchain projects, not all of them are destined to follow Bitcoin’s path.
As of March, there were an astonishing 1,658 new cryptocurrencies on the market, with new ones being created all the time. Joining them is Maecenas’ very own ART token cryptocurrency, which is a critical part of how the Maecenas project operates and central to democratising the wider art market through blockchain technology.
We believe that the ART token offers something unique thanks to the mechanics of the wider Maecenas platform and the impact we believe it could have on the art market.
So, what exactly is the ART token? It’s absolutely integral to the Maecenas platform and the blockchain approach that we hope will modernise and democratise the overall art market.
The ART token is required for all functions on the Maecenas platform; a decentralised blockchain that aims to make the art industry more transparent and fair.
ART tokens are critical for our Dutch auction process; to protect against manipulation; to better value artworks; to improve the provenance system; to make transactions transparent and, most importantly, to provide accredited investors with digital shares and certificated for the artworks they buy, sell, lease and more.
Understanding the growth potential of a cryptocurrency
Like other cryptocurrencies, the ART token is an entirely digital asset. Though not physical, tokens are still part of an economy and can be affected by economic forces.
As such, knowing the purpose of a cryptocurrency is an important way to begin to assess its overall growth potential.
There are other factors to consider when looking to value a cryptocurrency investment opportunity. Tokens can be scarce, for example, as there are typically a finite amount created.
Tokens can also have intrinsic value, especially if they’re used as part of a wider system (or ‘economy’ in Maecenas’ case). Compare Bitcoin, which is only useful for transactions, compared against other tokens that contribute to a wider cause.
The latter cryptocurrencies could have a better chance of seeing their value grow over time, depending on the performance of the project that tokens are contributing to and supporting.
ART has been created as part of the Maecenas platform to work alongside it, with our ultimate goal being to disrupt the wider art market to make it more transparent and democratise it.
ART is the fuel that powers the Maecenas platform, and as accredited investors and art lovers learn more about how Maecenas removes the need for intermediaries such as auction houses and modernises a market that’s essentially stayed the same for centuries.
Find out more about the capabilities of the ART token as a cryptocurrency and the ambitions of the Maecenas economy as a whole by reading our briefing documents today.