Comparing the salary of office workers to a glass wallet is not just an outdated story from the 80s and 90s. In South Korea, the monthly salary of office workers has not significantly changed compared to 10 years ago, despite rising inflation rates and housing prices.
In the past, it was possible to save a large sum of money simply due to high interest rates, so office workers with glass wallets could eventually buy their own homes and plan for retirement. However, nowadays, people of all ages must increase their capital through financial technology (fintech) investments.
This generational shift is clearly reflected in the stock and Bitcoin booms. In 2021, stocks and Bitcoin, known as the two pillars of the South Korean investment market, have gained popularity as investment options that allow easy entry with small amounts of money and the potential for multiple times returns on modest capital.
However, all investments have two sides. The high returns come with high risks, which is the reality behind the recent investment craze in stocks and Bitcoin. While some people make several times their capital with Bitcoin, it is also common for the value of their capital to drop by half in a single day.
Investors’ attention is now turning to ‘Art-tech.’ Art-tech is a compound term combining art and financial technology, referring to the method of earning profits through royalties by owning artworks. In addition to royalties from artworks, investors can generate additional income from product placement (PPL) revenues, exhibition rental fees, image usage fees, and more, attracting those seeking extra returns.
Art-tech boosts returns not only through royalty income but also through additional revenues such as PPL copyrights
In South Korea, Jiwoong Art Gallery, which has won the 2021 Korea Professional Journalists Association’s Professional Brand Award in the Culture and Arts category ? Art-tech division, and was ranked first in consumer satisfaction in the Culture and Arts category ? Art-tech division for two consecutive years in 2020 and 2021, dominates the market. The first-generation Art-tech operator, CEO Jeon Seongjae, is expanding the market base.
Jiwoong Art Gallery, which created the blue ocean of Art-tech investment, holds near-monopoly market power. Among the latecomer Art-tech brokerage platforms, some are promoting Art-tech where multiple investors own a single artwork through funding. However, CEO Jeon Seongjae expressed concerns about this approach.
CEO Jeon stated, “Funding-type Art-tech brokerage platforms are not officially licensed financial investment companies by financial authorities, so even if problems arise in the future, there is a high possibility that legal protection will not be provided. Moreover, when multiple investors own a single artwork, issues may arise when disposing of the artwork or distributing profits.” He warned about the risks of funding-type Art-tech.
On the other hand, Jiwoong Art Gallery adheres to the principle of one artwork per one investor. Professional curators directly provide consumers with necessary information and investment analysis materials, offering a service that matches artworks with future value even for small amounts of capital. This makes it easier for general investors lacking art knowledge to own artwork copyrights through Art-tech.
Even small investments should follow the one artwork, one investor principle to expect returns and safety
In fact, Jiwoong Art Gallery receives inquiries from a diverse range of investors regardless of age, including housewives, students, young professionals, and middle-aged individuals. Through the ‘repurchase guarantee system,’ when purchasing artworks guaranteed by Jiwoong Art Gallery, investors can apply for repurchase for a total of two years starting one year after purchase, ensuring both safety and liquidity.
Meanwhile, Jiwoong Art Gallery, which increased its Art-tech market share by 87.8%, operates the largest scale of PPL copyright activities in South Korea and is continuously expanding its market base to sustain returns by targeting large foreign markets such as Hong Kong.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
