London Daily

Focus on the big picture.
Thursday, Dec 04, 2025

Crypto tycoons help drive global art market to record levels in 2021

Crypto tycoons help drive global art market to record levels in 2021

Newly wealthy and pent-up demand from Covid-hit 2020 among reasons as sales of sought-after works boom

The global art market performed at record levels in 2021, with billions of dollars being paid for works by impressionist, postwar and contemporary artists, and much of it bought by people whose wealth comes from cryptocurrencies or other technologies.

More than $2.6bn (£2bn) of art was sold in two weeks by leading auction houses in New York in November. Four works by Vincent van Gogh sold for $161m, including $71.4m paid for Wooden Huts Among Olive Trees and Cypress Trees.

In May, Jean-Michel Basquiat’s 1983 2-metre-tall painting In This Case became 2021’s single most expensive painting to change hands when it sold for $93m. The sale in November of 35 works from the Macklowe Collection – by Andy Warhol, Jackson Pollock and Mark Rothko, among others – totalled more than $676m. Landscape by Nicolas Party went for $3.2m, doubling the Swiss artist’s previous record.

“The art market is certainly frothy. And I think the audience for art is larger than it’s ever been. We’re seeing record levels in the 277-year history of our company,” said Charles Stewart, the chief executive officer of auction house Sotheby’s.

The Hamilton Aphrodite on display at Sotheby’s in London before being sold in New York for almost $25m.


Art market experts say demand that was pent up in 2020 by the global Covid pandemic has released at the same time as sought-after artworks are being put up for sale. “There has been an extraordinarily high level of quality material coming to the market and that has drawn the attention of buyers,” said Stewart.

It is not only paintings that are commanding enormous sums. Last month, the Hamilton Aphrodite, a Roman sculpture dating back to the first or second century AD, established a new world record for an ancient marble sculpture when it sold in New York for almost $25m, smashing its pre-sale estimate of $2m-$3m.

Luxury auctions at Sotheby’s – including streetwear and skateboard decks as well as jewellery, watches, handbags, wines and whiskey – totalled more than $1bn for the first time in 2021.

And a non-fungible token (NFT) of Everydays: the First 5,000 Days by Mike Winkelmann, the digital artist known as Beeple, sold for a record $69m in March, making him “among the top three most valuable living artists”, according to Christie’s.

“It’s true that the market is performing at record levels, and certainly outperforming most people’s expectations,” said Katharine Arnold, the head of postwar and contemporary art at Christie’s.

Detail of the digital collage by the American artist Beeple, which sold for a record $69m.


However, the market for old masters was less buoyant, with sales at auctions last month down almost 20% on comparable sales two years ago.

According to the 2021 Contemporary Art Market Report, $2.7bn worth of contemporary art was sold at auction in the 12 months to June, representing a “stronger, more diverse and denser market than ever before”.

Experts attribute the booming market to at least three factors, which may overlap: young “crypto-driven” buyers; the growth in the Asian market; and the belief that art is a good investment at a time of economic uncertainty.

People who have made fortunes from cryptocurrencies and other technologies “are now participating at very high levels”, said Stewart. “They are young and they are global.”

In November, Sotheby’s accepted live bids in the ether cryptocurrency – favoured by the digital art and NFT community – for the first time in the sale of two works by Banksy, Trolley Hunters and Love Is in the Air. They sold for $6.7m and $8m respectively.

Cryptocurrency payments had become “a viable alternative to fiat currency”, said Arnold.

In November, a cryptocurrency group amassed more than £47m, or 11,600 ether, in a few days on its online crowdfunding page in an attempt to buy a rare surviving copy of the US constitution. They were outbid by a hedge fund boss and art collector, Kenneth Griffin.

Buyers from Asia accounted for 40% of sales in the contemporary art market in the year to June 2021, beating the US (32%) and the UK (16%). The Asian market has “effectively become the world’s primary zone for the exchange of contemporary artworks”, said the Contemporary Art Market Report.

According to Sotheby’s and Christie’s, Asian buyers account for a third of major international sales. Last year Sotheby’s broke records for sales in Asia, reaching $1.1bn by the end of November.

Another factor supporting this moment in the market was investors looking at “tangible works of art as stores of value” in a time of rising inflation, said Arnold.

She added: “I don’t think this is a bubble, not at all. The conditions in the world at the moment are such that art continues to be a way of storing value. And there is constant wealth creation and new buyers entering the market.”

There had been a 50% increase in millennials buying and bidding in Christie’s London sales in October, she said. “If the baby boomers were the ones buying aggressively in years past, we’re starting to see a generational shift, and that means that growth doesn’t only come from new markets like Asia, it also comes within the established markets as the younger generation steps in.”

Newsletter

Related Articles

0:00
0:00
Close
UK Inquiry Finds Putin ‘Morally Responsible’ for 2018 Novichok Death — London Imposes Broad Sanctions on GRU
India backs down on plan to mandate government “Sanchar Saathi” app on all smartphones
King Charles Welcomes German President Steinmeier to UK in First State Visit by Berlin in 27 Years
UK Plans Major Cutback to Jury Trials as Crown Court Backlog Nears 80,000
UK Government to Significantly Limit Jury Trials in England and Wales
U.S. and U.K. Seal Drug-Pricing Deal: Britain Agrees to Pay More, U.S. Lifts Tariffs
UK Postpones Decision Yet Again on China’s Proposed Mega-Embassy in London
Head of UK Budget Watchdog Resigns After Premature Leak of Reeves’ Budget Report
Car-sharing giant Zipcar to exit UK market by end of 2025
Reports of Widespread Drone Deployment Raise Privacy and Security Questions in the UK
UK Signals Security Concerns Over China While Pursuing Stronger Trade Links
Google warns of AI “irrationality” just as Gemini 3 launch rattles markets
Top Consultancies Freeze Starting Salaries as AI Threatens ‘Pyramid’ Model
Macron Says Washington Pressuring EU to Delay Enforcement of Digital-Regulation Probes Against Meta, TikTok and X
UK’s DragonFire Laser Downs High-Speed Drones as £316m Deal Speeds Naval Deployment
UK Chancellor Rejects Claims She Misled Public on Fiscal Outlook Ahead of Budget
Starmer Defends Autumn Budget as Finance Chief Faces Accusations of Misleading Public Finances
EU Firms Struggle with 3,000-Hour Paperwork Load — While Automakers Fear De Facto 2030 Petrol Car Ban
White House launches ‘Hall of Shame’ site to publicly condemn media outlets for alleged bias
UK Budget’s New EV Mileage Tax Undercuts Case for Plug-In Hybrids
UK Government Launches National Inquiry into ‘Grooming Gangs’ After US Warning and Rising Public Outcry
Taylor Swift Extends U.K. Chart Reign as ‘The Fate of Ophelia’ Hits Six Weeks at No. 1
250 Still Missing in the Massive Fire, 94 Killed. One Day After the Disaster: Survivor Rescued on the 16th Floor
Trump: National Guard Soldier Who Was Shot in Washington Has Died; Second Soldier Fighting for His Life
UK Chancellor Reeves Defends Tax Rises as Essential to Reduce Child Poverty and Stabilise Public Finances
No Evidence Found for Claim That UK Schools Are Shifting to Teaching American English
European Powers Urge Israel to Halt West Bank Settler Violence Amid Surge in Attacks
"I Would Have Given Her a Kidney": She Lent Bezos’s Ex-Wife $1,000 — and Received Millions in Return
European States Approve First-ever Military-Grade Surveillance Network via ESA
UK to Slash Key Pension Tax Perk, Targeting High Earners Under New Budget
UK Government Announces £150 Annual Cut to Household Energy Bills Through Levy Reforms
UK Court Hears Challenge to Ban on Palestine Action as Critics Decry Heavy-Handed Measures
Investors Rush Into UK Gilts and Sterling After Budget Eases Fiscal Concerns
UK to Raise Online Betting Taxes by £1.1 Billion Under New Budget — Firms Warn of Fallout
Lamine Yamal? The ‘Heir to Messi’ Lost to Barcelona — and the Kingdom Is in a Frenzy
Warner Music Group Drops Suit Against Suno, Launches Licensed AI-Music Deal
HP to Cut up to 6,000 Jobs Globally as It Ramps Up AI Integration
MediaWorld Sold iPad Air for €15 — Then Asked Customers to Return Them or Pay More
UK Prime Minister Sir Keir Starmer Promises ‘Full-Time’ Education for All Children as School Attendance Slips
UK Extends Sugar Tax to Sweetened Milkshakes and Lattes in 2028 Health Push
UK Government Backs £49 Billion Plan for Heathrow Third Runway and Expansion
UK Gambling Firms Report £1bn Surge in Annual Profits as Pressure Mounts for Higher Betting Taxes
UK Shares Advance Ahead of Budget as Financials and Consumer Staples Lead Gains
Domino’s UK CEO Andrew Rennie Steps Down Amid Strategic Reset
UK Economy Stalls as Reeves Faces First Budget Test
UK Economy’s Weak Start Adds Pressure on Prime Minister Starmer
UK Government Acknowledges Billionaire Exodus Amid Tax Rise Concerns
UK Budget 2025: Markets Brace as Chancellor Faces Fiscal Tightrope
UK Unveils Strategic Plan to Secure Critical Mineral Supply Chains
UK Taskforce Calls for Radical Reset of Nuclear Regulation to Cut Costs and Accelerate Build
×