Follow these simple steps for the artwork you would like to buy:
Read and sign the agreement for buying the artwork. The agreement is a simple contract with terms that designate your ownership and future value increases of the artwork you buy. The agreement is signed online before purchasing but it will be valid only after the payment is completed. The purchase is private; your name and data will not be published or disclosed.
Make the payment for the artwork you want to buy. Artworks are purchased via PayPal individually. After payment you will be redirected back to the site for the delivery of your artwork. PayPal is secure and the payment will be made toward the company Paolo Cirio LTD. After the payment you will be redirected to Art-Derivatives.com for delivery of the artwork.
Receive the artwork via email and verify it. Once payment is completed you will receive the artwork via email with the certificate of authenticity and agreement document signed by the artist. Authenticity and property of the artwork can be verified simply by comparing encrypted signature ids on the page of the artwork bought on Art-Derivatives.com.
How the price of the artworks is calculated
The prices of individual artworks on sale on Art-Derivatives are the 0.00001 percent of the price or estimate publically reported by the auction house. Such price records are indicated as Price Point Value and they are determined by the hammer price at auction or the maximum amount estimated for the artifact in case it failed to sell. Estimates are also considered value points since they dictate the way people perceive the value of an artist and their work. For each time the same artifact went to auction there is a unique artwork on Art-Derivatives.com and a related Price Point Value. The final sale prices and Price Point Values are always indicated in USD dollars and they were converted from other currencies on March 1st 2020.
Eventual prints of the artworks are considered mere physical reproductions of digital objects. The financial value is detached from the material and form of the artwork whether reproduced digitally or physically and it is only determined by the signed certificate of authenticity and agreement document.
How the value increase of artworks is calculated
The artworks can be resold only 5 years after purchase and their value increases to 5 times the price paid on Art-Derivatives.com. However, the value of the artwork increases 10 times if the original artifact is auctioned for less or failed to sell at auctions within the 5 year period. The incremental value is proportional every 5 years, thus the work can be sold after 10 or multiples of 5 years with appreciation of 5 or 10 times for each cycle. These terms are defined in the agreement, which works as a “future” financial contract to bet against art auction houses while working also as investment for the buyers of artworks on Art-Derivatives.com
These terms of financial appreciation of the artworks must be claimed during the resale negotiation of the digital artworks between individual collectors or in any marketplace such as online platforms, blockchain networks, and including physical galleries and art fairs.
How the ownership of artworks is defined
Buyers on Art-Derivatives.com are the owners of the artworks they buy until eventual future resale. Ownership of the artworks is defined through the signed certificate of authenticity and the sales agreement document sent at the time of purchase. This document defining ownership is private and contains unique cryptographic signatures to verify the ownership, authorship, and authenticity of the artwork, and also the integrity of the document itself.
The artworks sold on Art-Derivatives.com can be freely shared and reproduced digitally or physically. Even if all the digital artworks are single editions they can be copied and distributed publicly, since the ownership and authenticity are defined only by the private document which integrates the sales agreement and certificate of authenticity. The display and sharing of the artworks have no limitations except that they must be attributed to the artist Paolo Cirio. The artworks are not a fractionalization of the original images and works sold at auctions, instead they are actual unique artworks created by the artist Paolo Cirio. Only their financial value is attached to the fluctuation of the original artifact’s prices at auction. The copyright holder is, and remains, the artist Paolo Cirio and his artworks sold on Art-Derivatives.com are licensed under Attribution-ShareAlike Creative Commons.
How the authenticity of artworks is verified
After the purchase of the artwork and the registration process is completed, the certificate of authenticity and sales agreement document is sent via email. This document contains digitally coded signatures, time stamps, and file certifications using MD5 cryptography, which work as unique and irreproducible verification ids of signatures, documents, artworks, and transactions. The signature ids of the owner and transaction need to be kept private and stored safely, while the signature ids by the artist and of the document will be public. For each artwork a new signatures set is created from the transaction data. The property may be compromised if the private signatures are made public, however the ownership can always be verified manually since the owner contact information is indicated in the private document.
The verification of the authenticity and ownership of artwork is done by comparing the coded private signatures in the document with the public signatures indicated on the page of the artwork Art-Derivatives.com. After purchase the work will be indicated as unavailable and the public signatures of the sale will be published. Further authenticity can be verified by comparing an integrity checksum public id, which compiles all the coded ids of the sale together: private signatures of the collector and transaction, public signatures of the artist, the artwork, and of the sale agreement.
Artist: Paolo Cirio
Collector: John Doe
Amount value for the artwork: $1.5 USD
Date: April 30, 2020
Title: Andy Warhol, Dollar Sign - L.598 at Contemporary Art Day Auction in New York on 2014 November 12
Artist: Paolo Cirio
Series: Art Derivatives
Edition: One-off 1/1
Medium: Digital file
Material: PNG file
MD5 file: 9604dfba908cfff9cdce
Artwork: (title + md5_file of high res image artwork)
Artist: (artist name + email + passcode always the same)
Collector: (collector name + email + personal passcode)
Contract: (text document with sale + artwork data without signatures)
Transaction: (financial transaction id + timestamp)
Checksum: (all five signatures together)
Signed on: (date of the order)