Welcome to Cultural Assets Insider for 16th December 2021 – FREE Version. We analyze offerings across the landscape to discover undervalued, mispriced, and hidden gems.
Cultural assets performance 2021
Cultural assets continue to casually bounce around up or down 10%+ into the end of the year. Not really surprising in a year punctuated by dizzying oscillations.
Last week’s performance
Fractional secondary markets
Last week was really just all over the place with really nothing looking very good. Toys are itching to break out across both Rally and Otis, but assets on Otis just can’t get a foothold at the minute.
No new drops this week.
There may be some opportunities to pick up deals on Otis if you’re happy to hold onto assets for a couple of months or more. Two toys to highlight:
- Darth Vader Action Figure: Market cap is $24k vs a value of $35k
- Optimus Prime Transformer: Market cap is $10k vs a value of $17k
This is a situation where we need to split out the platform performance from asset class. We know toys are strong right now because:
- They’re selling out in seconds on Rally
- Auction results are
For proof of this platform bifurcation, look no further than identical sealed iPods on Rally and Otis.
- Rally Market Cap: $74,750
- Otis Market Cap: $25,800
To be clear, the iPod on Otis is trading at FMV, while Rally’s copy is 3x that, but the point stands. There’s a lack of liquidity and demand on Otis relative to other acquisition channels, which presents an opportunity if you’re a buyer.
So if you can bear to hold on for a bit, you may be able to snipe some great deals.
Talking of buying opportunities, investors really aren’t feeling fossils right now. You heard it here first – there’s an opportunity in the high-end fossil market.
Rally’s got a triceratops skull that IPO’ed for $285k against an inferred value of around $300k. It’s currently trading at pre-historic levels: $177k.
This probably has something to do with the mouthful of megalodon teeth Rally IPO’d recently. While it’s a fantastic specimen, investors aren’t biting, and it still has 35% of the share float available.
Fractional platform Otis launched OtisHouse this week. It’s a sort of unique auction marketplace where users can submit physical items for vaulting. Otis creates an NFT to represent that item, and users can then choose to hold on or put it up for auction on the OtisHouse site.
The most interesting, unique, and perhaps slightly bizarre item is a gold pan painted and signed by former Master Sergeant and beloved painter Bob Ross. Before there were happy trees, Ross was a senior NCO stationed in Alaska, where he started painting landscapes as a way to find some peace and tranquility.
He sold each treasure for around $25.
This is certainly a niche item, but sales histories and appraisals do exist for these, and the going rate is around $6k each.
Two similar pans were uncovered in 2018 and sold to an antiques shop in Alaska, which was featured on a local news broadcast.
A similar pan is currently listed in eBay for $49,000, which feels optimistic.
The item on OtisHouse is currently bid up to 1ETH (around $4k) with three days left.
There’s a fascinating auction at Sotheby’s right now featuring ancient statues and pottery (it is fascinating).
If you’re a fan of the terracotta army in Xian, these pieces may remind you of that.
One bargain I’ve spotted – a Shiwan pottery figure of laughing Buddha.
Estimates are 30k HKD to 50k HKG (around $4,000 to $6,500), but it’s currently sat at only 2,500 HKD. This is much farther off estimates than you’d expect to see with only eleven hours to go.
Let me know if you buy something.