Major auction house Sotheby’s has sold Dmitri Cherniak’s Ringers #879 (The Goose) NFT art for $6.2 million. It’s part of Three Arrows Capital’s (3AC) Grails group which has amassed nearly $11 million in sales.

The auction house notes that the NFT sale has become the second highest selling generative art sale to date.

Liquidating NFT ‘Grails’ helps win back a few million more

Chernyak Ringers #879 artwork is part of a long line of generative art consisting of 1000 NFTs. A signed print accompanies every NFT. Toronto-based artist Dmitry Chernyak has also gained recognition for his digital artwork on Web3.

In a collection of more than 40 NFTs, the “Grails” auction also includes pieces by other famous artists. That includes names like Tyler Hobbs and Larva Labs. Sotheby’s NFT sale comes at a time when the auctioneer continues to expand the dedicated NFT market by facilitating peer-to-peer sales on Ethereum and Polygon. It also increased the range

Sotheby’s Metaverse. Meanwhile, secondary sales are taking a hit on the platform through smart contracts.

Notably, the sale of the NFT is part of efforts to pay down the debt of defunct cryptocurrency hedge fund Three Arrows Capital (3AC). The company’s creditors expect that the sale of these NFT assets will save money. Sotheby’s previously sold NFTs from 3AC’s Grails collection, which features rare digital artwork by artists including Joshua Bagley and Dmitri Cherniak.

Three Arrows also owns NFTs via Starry Night Capital as well as digital artwork in the GRAIL Collection.

Seven non-financial deals held by an insolvent hedge fund sold for more than $2.5 million in a single auction last month. At the time of publication, the Market Sentiment Index is by NFTGowhich is based on volatility, trading volume, social media and Google trends, was 38.

Moreover, last week there were 107,000 ETH in NFT sales across all pools. This represents an increase of about 7%.

3AC bankruptcy proceeding continues

3AC filed for bankruptcy in July 2022. However, Three Arrows Capital (3AC) bankruptcy proceedings have taken a new turn as co-founder Kyle Davis faces possible contempt of court charges.

BeInCrypto reported in April that co-founders Davies and Zhu had not responded to a subpoena from a US court. The court order required them to turn over financial documents and other company information.

According to the latest filing, Davis has been charged with disobeying a subpoena related to the former hedge fund’s bankruptcy proceedings. According to the liquidators, Davis on purpose delay Acquisition of assets from the bankrupt fund.

Some projections are that the NFT market will develop at a stellar CAGR of 34.2% between 2023 and 2030. Established auction houses such as Sotheby’s are actively participating as the NFT market is poised for additional innovation. She wants to use her knowledge of the traditional market to make digital art easier to acquire and sell.