Coinspeaker
Sotheby’s to Host Auction of NFTs from Failed Hedge Fund 3AC Collection
On Wednesday, April 19, the popular London-based auction house Sotheby’s announced that it will facilitate the sale of the “Grails” NFT collection, originally owned by the now-defunct hedge fund Three Arrows Capital (3AC) as well as its NFT-collecting fund Starry Night Capital.
3AC Collection of NFTs
Also, the auction house stated that the multi-part series sale should start next month in May and will continue throughout the year. Sotheby’s also signaled that all the NFT artwork in the Grails NFT collection would be offered either through private sales, auctions, or using other methods.
The auction house described “Grails” as an “unparalleled collection” that includes NFTs from some popular Web3 projects as well as from some of the most notable artists. In a statement on Wednesday, Michael Bouhanna, Sotheby’s head of digital art and NFTs, said:
“This expansive collection marks an important moment in the rise of generative art on the blockchain in 2021, and was guided by an ethos of acquiring the highest quality and rarest works available on the market”.
Some of the pieces highlighted by the auction house Sotheby’s include Art Blocks Fidenza #216 generated by artist Tyler Hobbs. Chromie Squiggle #1780 by Art Blocks founder Erick “Snowfro” Calderon, the Autoglyph #187 by Larva Labs, CryptoPunks NFT #6649, the Ringers #879 (dubbed “The Golden Goose”) by artist Dmitri Cherniak and Autoglyph #187 by Larva Labs.
One of the most significant collections of digital art ever assembled is coming to auction at Sotheby's across a series of multiple sales throughout 2023.
It all starts 19 May during the Marquee Sale Week at Sotheby’s New York. https://t.co/SrjdtubD3W #SothebysGRAILS pic.twitter.com/AoXRNAbUq7
— Sotheby's Metaverse (@Sothebysverse) April 19, 2023
How Is Sotheby’s Dealing with Assets of Bankrupt Hedge Fund?
The fall of Three Arrows Capital (3AC) was one of the most high-profile collapses in the history of the crypto market. This followed soon after the fall of the Terra LUNA ecosystem back in May 2022. As Three Arrows Capital (3AC) undergoes the bankruptcy process. It still owes north of $3.5 billion to creditors.
Explaining how Sotheby’s is dealing with the NFT assets of 3AC, a spokesperson from Teneo, the company managing 3AC’s liquidation told Decrypt that Sotheby’s has “a best-in-class approach that will ultimately maximize the value of these assets on behalf of all creditors.”
In the past as well, Sotheby’s has listed some of the most iconic NFT collections. and said that it will stay true to its ideals within the Web3 space. The auction house also reiterated its message of commitment to the artists noting that it would continue to “honor creators’ royalties for secondary sales,” per its “Grails” webpage.
As per the data compiled by Dune Analytics, the total value of NFTs held by 3AC is worth around $2.4 million. On the other hand, the NFTs transferred to Teneo are worth around $20.8 million. The auction house stated that the artwork from “Grails” shall be available soon and the first auction shall take place in May next month during its “marquee sale week,” Sotheby’s said, “one of the most anticipated moments of the annual auction calendar with the most high-profile sales of contemporary and modern art.”
Sotheby’s to Host Auction of NFTs from Failed Hedge Fund 3AC Collection
