Blockchain and crypto currencies became a curiosity of mine going back to around 2018 or so. I have seen the space expand and contract through the cycles commonly associated with the Bitcoin halving, and seen many projects come and go from the rise of various meme coins to the popularity of the digital monkeys of the Bored Ape Yacht Club. There is a lot of information out there about the future of Blockchain, but here we want to give collector's a few points that haven't been given much consideration across the wider space as of yet.
Blockchain technology has taken off, mostly in the form of popular cryptocurrencies such as Bitcoin and Cardano ADA, but the technology is poised to transform the world of collecting as well. The good folks over at IBM succinctly define Blockchain as “a shared, immutable ledger that facilitates the process of recording transactions and tracking assets in a business network”. In short, blockchain is akin to a digital flowchart that creates accountability and yields permanent record keeping. This kind of technology can usher in a new era of trust, transparency, and accessibility. And so, from enhancing authentication to revolutionizing payment options, here are five ways blockchain technology will impact you collecting habits in the future (if not already).
Provenance and Authentication
One of the most significant benefits of blockchain technology for collectors is its ability to provide irrefutable provenance and authentication for any collectible. And the simplicity of the blockchain means it can work on all levels spanning high-value items like art all the way down to your most common Pokémon card. By leveraging the immutable ledger provided by blockchain, collectors can securely record ownership and transaction history, creating a trusted digital certificate for each item. This ensures that collectors can verify the authenticity and provenance of their acquisitions with confidence.
Creating New Pedigrees
Blockchain enables the creation of new pedigrees by recording previous ownership of physical items and tracking them as they change hands. Take, for example, comic books from pedigreed collections. By recording the ownership history of these items on the blockchain, collectors can trace their lineage back to their origins, adding to their historical significance and value. Imagine someday owning Todd McFarlane’s file copy of Spawn #1, permanently recorded on the Blockchain by an associated file number that would make that copy instantly desirable whereas without the ledger filing would have forever been “just another copy of Spawn #1”.
As of this writing, CGC currently recognizes 63 Pedigree Collections. But imagine when Blockchain gets involved with the many thousands of individual collectors out there with amazing sets of their own. For example, well known "Batman" collectors could have their comics elevated through Blockchain record keeping - annotated as "Originally Part of Batman Collector-XYZ's Collection" anywhere the book changes hands. Or situations where sports fans have game-caught baseballs registered to the blockchain while on-site at a game - a permanent record of a ball-catch that would otherwise be forgotten to history.
Digital Collectibles and NFTs
The rise of digital collectibles and Non-Fungible Tokens (NFTs) represents a groundbreaking use case for blockchain technology. From the current digital art market to the future validation of transferable digital items between various video games, blockchain ensures the uniqueness and authenticity of these digital assets. Collectors can now own and trade digital items with confidence, knowing that their ownership is securely recorded on the blockchain. Many amazing modern-era artists like CAFU only sell prints of their digital artwork. But with the power of Blockchain NFTs, that artwork can be certified as a digital commodity just like owning a traditional hand-drawn page – and it cannot be copied.
Enhanced Payment Options
Blockchain technology opens up enhanced payment options for collectors, particularly for high-value items. Imagine that your invested Bitcoin is worth $10,000 now, but consider the negotiating leverage that BTC could have in a transaction involving a piece that you normally couldn’t afford. For example, prices on grail pieces such as a Mickey Mantle Topps Rookie Card have skyrocketed. Even low-grade PSA 1 examples now dabble around the $30,000 area. However, the growing value and acceptance of cryptocurrencies provide an alternative. Buyers might have leverage with sellers who will accept cryptocurrency at a lower sale price based on the value-proposition of crypto. This kind of wider-adoption opens doors for collectors to acquire coveted items through innovative payment methods.
Crypto Currency As A Collectible On It's Own Merits
As cryptocurrencies continue to proliferate, they themselves can become collectible assets. Someday, people might collect old currencies still residing on the blockchain, even if they have failed as regular-use projects. Imagine your Trust Wallet, currently full of 20-million useless Saitama v2 tokens, but someday sought-after by cryptocurrency collectors who will pay to add them to their sets as artifacts of the early eras of Blockchain - maybe by that time using new technology that can move coins from dead blockchains for free. Furthermore, archive record-keeping is key to collecting and places like 99Bitcoins.com already host Dead Coins resource pages for posterity. Additionally, individual BTC satoshis could become collectible when they are linked to noteworthy events using the new Bitcoin Ordinals systems. Cryptocurrency itself is likely to create a new era of digital-coin-searchers akin to the coin collectors of today.
Blockchain technology is poised to revolutionize collecting in profound ways. From providing authentication and provenance, to enabling the trade of digital collectibles and expanding payment options, blockchain unlocks new frontiers for collectors to consider. As the technology continues to evolve, collectors can look forward to a future where trust, transparency, and accessibility are paramount in the world of collecting.