How Do NFTs’ Crazy Valuations Compare To Traditional Art? [Study]
- 35.1% of respondents reported being very familiar with NFTs.
- 46.6% of respondents worried that NFTs are concerning for the environment.
- 47.7% of respondents claimed that NFTs are detrimental to creators of physical art.
- “CryptoPunk #9998,” an NFT, had a higher average bid value than famous paintings by Jackson Pollock (“Number 17A”), Mark Rothko (“No. 6”), Jean-Michel Basquiat (“Untitled”), and Cy Twombly (“Bacchus”).
Digital assets have gained popularity over the last few years as Bitcoin and other cryptocurrencies came to fame in the mainstream investment space. Other digital assets, most notably nonfungible tokens, or NFTs, have gained traction and notoriety in 2021. If you’re unfamiliar with an NFT, it’s a digital file that, according to Forbes, “represents real-world objects like art, music, in-game items and videos.” So basically, instead of purchasing an item you can use in your office or home, you’re buying a virtual item. What makes NFTs attractive is they are limited in quantity, and therefore, appear more valuable unlike the plethora of cryptocurrencies in existence. And while NFTs may seem like a far-fetched idea, they are becoming more well known in art circles.
To measure where NFTs stand in comparison to physical art, we conducted a study where 1,000 respondents placed bids on a wide array of traditional art pieces and NFTs. Which form of art drew them in more? And which specific art pieces garnered the highest bids? Let’s find out where classics by van Gogh and da Vinci stack up against digital art.