The Art NFTs and Their Marketplaces

TL;DR

This paper analyzes the art NFT market, highlighting recent trends, patterns, and the impact of blockchain technology on art sales and ownership, based on data from major NFT marketplaces.

Contribution

It provides a comprehensive analysis of art NFT market dynamics and trends using recent marketplace datasets, offering insights into future developments.

Findings

NFTs enable proof of ownership and authenticity for digital art.

NFT marketplaces are transforming art sales by removing middlemen.

Market patterns indicate growing adoption and profitability of art NFTs.

Abstract

Non-Fungible Tokens (NFTs) are crypto assets with a unique digital identifier for ownership, powered by blockchain technology. Technically speaking, anything digital could be minted and sold as an NFT, which provides proof of ownership and authenticity of a digital file. For this reason, it helps us distinguish between the originals and their copies, making it possible to trade them. This paper focuses on art NFTs that change how artists can sell their products. It also changes how the art trade market works since NFT technology cuts out the middleman. Recently, the utility of NFTs has become an essential issue in the NFT ecosystem, which refers to the owners' usefulness, profitability, and benefits. Using recent major art NFT marketplace datasets, we summarize and interpret the current market trends and patterns in a way that brings insight into the future art market. Numerical examples are presented.