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Sotheby’s to Close Sale of EtherRock NFT in Sealed Bid Auction
Sotheby’s, the 279-year-old British auction house, is expected to close the sale of an EtherRock (EthRock) non-fungible token (NFT) on Wednesday, in a sealed bid auction. The decentralized prediction market website Polymarket reflects that there is a 57% chance that the EtherRock NFT will sell for over $600,000 at the Sotheby’s auction.
On February 12, EtherRock number 46 sold for $496,658. EtherRock NFTs are digital collectibles representing ownership of virtual rocks on the Ethereum blockchain. Each EtherRock is a unique token, with ownership recorded on the blockchain, giving buyers the ability to buy, sell, and trade these digital rocks as they would physical collectibles. They gained attention for their simplicity and scarcity, as only 100 EtherRocks exist, making them highly sought after by collectors in the NFT space.
What is a Sealed-Bid Auction?
For those unfamiliar with the term ‘sealed-bid auction’, this is a type of auction in which bids are not viewed until the actual auction date. The bids are sealed physically in an envelope and will all be opened at once.
Sotheby’s NFT Sales Achievements
In terms of total sales in 2023, Sotheby’s has achieved more than $30 million in total digital art or NFT sales, which marked about a 50% increase year on year.
There were many highlights in the sales of 2023 including multiple sales from the Three Arrows Capital (3AC) collection, generating over $11 million in total. The highlight of that sale was a work by Dmitri Cherniak called The Goose, which sold for $6.2 million.
NFT Popularity and Regulatory Challenges
NFTs gained huge popularity in 2021, generating over $23 billion in trading volume. In 2022, the NFT industry saw a major decline following the collapse of the crypto exchange FTX and a major market downturn. Organizations want to help implement regulatory frameworks for NFTs, but confusion around these digital assets persists.
Sotheby’s Breakdown of Digital Art Sales
The GRAILS: Starry Night collection sold in the January auction for a total of $1,046,099, which more than doubled the pre-sale estimate. According to Sotheby’s, 55% of bidders were under 40 and an estimated 40% of buyers were under the age of 40. The auction house said 53% of buyers were new to Sotheby’s.
Natively Digital: An Ordinals Curated Sale also sold in the January auction, and 19 lots sold for a total of $1,097,534, which was more than twice the low estimate for the sale originally. Sotheby’s said there were a total of 641 bids, 78% of buyers were new to Sotheby’s and more than 50% of bidders were under 40.
BitcoinShrooms: An Ordinals Auction took place in December and all three lots were sold for a total of $450,850, which was five times the high estimate. This sale marked the first-ever Ordinals sale at Sotheby’s.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
