TOKENIZATION - INVESTNG IN THE ARTIST AND HER WORK
THE TERMS OF TOKENIZATION
THE TOKENS
Her fungible RWA Tokens will be created on the Polygon blockchain and traded on the OpenSea marketplace. They will be:
* Robust digital certificates evidencing ownership of a real world asset;
* Formal, legal assets;
* Fungible, meaning they are uniformly exchangeable;
* Readily tradeable; and
* Transferable, which means they can also be gifted or bequeathed.
THE ARTWORK
Tokenized artworks will be independently valued and insured, held in trust, stored securely (all verified by third party oracles) and exhibited occasionally for the benefit of investors.
There will also be opportunities for owners to contribute to decisions regarding the governance of the artworks over time.
THE BENEFITS
Buyers will gain a share in the appreciating value of Karlalise's artwork and the satisfaction of investing n her practice.
Karlalise retains copyright in all of her works. However, a portion of any license fees she earns from the use or copying of tokenized works over time will be applied to the cost of storing, administering and governing those works for the benefit of investors. If there are surplus earnings, these will be divided between buyers on a yearly basis.
To learn more, REGISTER YOUR INTEREST here.
Blockchain Tokens can act as digital certificates of ownership relating to real world assets (RWA).
The tokens can evidence full or partial (fractional / shared) ownership of the asset.
'Fungible' tokens are all the same and therefore interchangeable. That means, fungible RWA Tokens can be listed for sale, gifted, bequeathed, and traded, much like shares.
The value of the RWA Token naturally increases as the value of the asset does.
Creating RWA Tokens is a rigorous process that involves valuing, insuring, storing, defining and listing fungible tokens for the RWA.
1. The RWA is valued by reliable, independent objective, industry specific experts;
2. The RWA is stored and managed in a secure climate controlled facility;
3. The RWA is insured for damage or destruction;
4. Contractual terms are drafted (and included on the blockchain), which define RWA Tokenholders rights, including:
a) the portion of the RWA that each RWA Token represents;
b) the storage, management and insurance of the RWA;
c) any rights granted to RWA Tokenholders in relation to the RWA (for instance, access or use);
d) the ownership of copyright or other IP rights in the RWA, including licensing revenue;
e) the ongoing transfer / gift or trade of RWA Tokens and associated benefits / costs;
5. The RWA Tokens are "minted' and offered for sale on appropriate trading platforms.
ART TOKENIZATION represents the DEMOCRATIZATION of the art world, where buyers, collectors and investors have a direct role in valuing, driving demand for, and rewarding the efforts of artists they admire.
Gallerists, dealers, writers, reviewers and consultants are important advisors in the art market.
But tokenization allows buyers, collectors and investors to have greater access to artists and art works at more ACCESSIBLE price points (less ticket clipping) via online trading platforms.
Instead of viewing RWA Token ownership in terms of traditional art ownership, it is better understood as an investment in the artist and a partial share in the growing value of one of their works.
Note: Not all Token Contracts are equal - the terms of various tokens will often differ. It is important to read the fine print and clarify what the terms of the offer are, where the value is, what the risks are (for example, depreciating value), and whether or not these align with your expectations.
GALLERY OF TOKENIZED WORKS
