Lobus raises $6 million for a blockchain-based art management app

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Image credit: https://techcrunch.com/2021/04/28/lobus-raises-6-million-for-an-art-management-platform-on-the-blockchain/

Non-fungible tokens, or NFTs, have exploded in popularity this year, coinciding with the increase in the value of cryptocurrencies such as Bitcoin and Ethereum. According to Nonfungible.com, the overall volume of NFT transactions quadrupled to $250 million last year. They’re a form of digital asset that uses blockchain technology to monitor ownership of a specific virtual object, such as a piece of art or sports trading cards.

One of the blockchain’s most obvious real-world use cases has been reshaping ownership proofs in the fine art markets. However, as top auction houses have welcomed NFTs and well-known artists have experimented with the crypto medium in recent months, the future has appeared more real than ever.

Lobus is hoping to commoditize blockchain technology with an asset management platform that they hope will bring creator-friendly mechanisms from NFT marketplaces like SuperRare to the physical art world as well, enabling art owners to retain partial ownership of the works they sell so that they can profit from secondary transactions down the road.

While physical art sellers have been accustomed to selling 100% of their work while seeing that value grow over time, Lobus’s goal is for artist’s to maintain fractional ownership throughout those sales, ensuring that they earn a commission on sales down the road.

Lobus co-CEO, Sarah Wendell Sherril in an interview with TechCrunch said: “We’re really on a mission of making artists into owners. We are really leveraging the best of what NFTs are putting out there about ownership and asking the questions of how to help create different ownership structures and interrupt this asset class.”

A major priority for the team has been to concentrate on what their technology will bring to their network of art owners rather than the nuances of knowing what blockchain actually is.

Lobus currently has about 45,000 art objects in its database, with a total asset valuation of $5.4 billion across physical and digital objects.

One thought on “Lobus raises $6 million for a blockchain-based art management app

  1. Kliachkovski Danila says:

    “Royalty as a service”

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