Virtual Art and Non-Fungible Tokens

Authors

Lawrence J. Trautman

Abstract

Fueled in part by the wealth recently created from digital currencies, major art dealers such as Christie's and Sotheby's have embraced the sale of non-fungible tokens attached to unique digital works of art. What are non-fungible tokens, how is this related to the blockchain, and what do we know about this rapidly evolving market for digital art? It appears that digital art can be added to the growing list of uses for blockchain technology now becoming a part of modern life. This Article proceeds in seven Parts. First is a discussion about the new and explosive market for digital art. Second, I explore the evolution of the digital world and virtual property. Third is an explanation and historical account of the blockchain and virtual currencies. Fourth is coverage about non-fungible tokens. Fifth is a brief look at unresolved issues impacting the law of non-fungible tokens and potential solutions are provided. Sixth is a few thoughts about the future of digital property. And last, I conclude. This dramatic extension of blockchain and other digital technology to the world of art and music represents a new and exciting platform for creative expression. This Article offers a valuable addition to the literature by providing a readable introduction and overview of what is now known about the likely impact of blockchain technology and nonfungible tokens to music and art. This important development should have a significant impact on the future of innovation and property law.

Recommended Citation

Trautman, Lawrence J. (2022) "Virtual Art and Non-Fungible Tokens," Hofstra Law Review: Vol. 50: Iss. 2, Article 6.
Available at: https://scholarlycommons.law.hofstra.edu/hlr/vol50/iss2/6