Nfts
A historic 316-year-old violin becomes an NFT
Once owned by Catherine the Great, the 1708 Stradivarius violin was transformed into an NFT as collateral for a loan
Digital Galaxy Holdings LP provided a multi-million dollar loan to Yat Siuco-founder of Animoca Brandsusing a combination of a tokenized Stradivarius 1708 violin and its non-fungible token (NFT) digital equivalent.
The 1708 “Empress Caterina” Stradivarius violin is named after and belonged to the Russian empress. Catherine the Great. According to Tarisiothe Golden Period violin was auctioned by Tarisio in New York in 2023 – Siu bought it for over $9 million.
As documented by Tarisiothe “Empress Caterina” of 1708 was first acquired by the Russian ambassador in Venice for the Empress Elizabeth Petrovna, who ruled the Russian Empire from 1741 to 1762 — after his death, the violin was inherited by his successor, Catherine the Great. The violin arrived in New York in 1951 after passing through London and Paris.
Galaxy Digital has created an NFT version for the physical instrument via GK8, its cybersecurity subsidiary for safeguarding digital assets; Siu will regain ownership of the violin once the loan is repaid. This is the first time that a historical and high-value instrument has been used to combine physical and digital assets for investment purposes.
The physical violin will be stored at a Hong Kong-based custodian until Galaxy Digital and Siu authorize its release, reports NFT News Today.
“I was thinking about how we could create something special like [the tokenization of physical items] to have wider access,” Siu said in the NFT calendar. “It was also a good way, even if it was not obligatory, to obtain additional liquidity.”
“As a technologist with a background in classical music, this is a very special moment for me,” Siu added in NFT News Today. “The 1708 Empress Caterina Stradivarius violin is the first instrument of such rich origin and illustrious provenance to undergo tokenization. I am excited to help launch this new business model for unique assets while preserving and sharing not only a very rare and valuable instrument, but also a piece of history.