Masterworks
Masterworks securitizes blue-chip artworks into fractional shares for retail and accredited investors. Founded in 2017 in New York, it serves over 1 million users via SEC-registered offerings, secondary market trading, IRA investing, and a 40 Act art fund.
- Company typePrivate
- Founded2017
- HeadquartersNew York, United States
- Headcount101–250
- GTM typeB2C
- OfferingServices
What Masterworks does
Masterworks is a New York-based fintech platform, founded in 2017 by Scott Lynn, that securitizes blue-chip artworks and sells fractional shares to retail and accredited investors through SEC-registered Regulation A and Regulation D offerings. The company has offered over 500 paintings by artists including Basquiat, Warhol, Picasso, Monet, and Banksy, with 28 successfully exited at a profit and over $67 million distributed back to investors. Its core technology stack combines a proprietary art price database integrated with ArtNet auction data, an SEC-registered investment adviser (Masterworks Advisers, LLC), and a regulated secondary trading market operated via North Capital Private Securities Corporation's PPEX ATS. Additional infrastructure supports IRA investing through Inspira Financial custody and identity verification via Onfido.
Masterworks generates revenue through multiple streams: primary offering spreads on securitized paintings, secondary trading transaction fees (approximately $0.05 per trade), recurring Masterworks Plus membership subscriptions, art acquisition and resale fees (including via sister brand Level & Co.'s Upper East Side gallery), and partnership revenue from the Stone Ridge Art Risk Premium Fund (AARTX), a '40 Act art fund offering $625M+ notional exposure. The company serves over 1 million global users, including 70,000+ paying Plus members described as high-net-worth individuals (CEOs, lawyers, doctors, business leaders), financial advisors via the AARTX channel, and IRA investors.
The go-to-market blends a self-serve product-led digital platform with a financial advisor enterprise channel and a private sales team. Marketing relies on earned media in major financial publications (Forbes, CNBC, FT, NYT) and compensated referrals from select outlets. With 125+ employees headquartered at 1 World Trade Center and a unicorn valuation from its October 2021 Series A, Masterworks is positioned as the first and largest scaled player in fractional art investing.
Masterworks firmographics
Firmographics- Name
- Masterworks
- Legal name
- Masterworks, LLC
- Website
- https://masterworks.com
- Company type
- Private
- Founded year
- 2017
- Operating status
- Operating
- Headcount range
- 101–250 employees
- Short description
- Masterworks securitizes blue-chip artworks into fractional shares for retail and accredited investors. Founded in 2017 in New York, it serves over 1 million users via SEC-registered offerings, secondary market trading, IRA investing, and a 40 Act art fund.
- Ownership category
- akta.pro rank
Masterworks industry classification
Industry- Product category
- Alternative Asset Investment Platform
- NAICS
- Other Financial Investment Activities (5239)
- SIC
- Security & Commodity Brokers, Dealers, Exchanges & Services (6200)
- akta.pro primary industry
- Whole-Business & Franchise Securitization (FSACACAF)
- akta.pro secondary industry
- Art, Photography & Illustrated Books Publishing (MPAJAAAF)
Keywords
Where Masterworks is headquartered
LocationHeadquarters
- HQ city
- New York
- HQ country
- United States
- HQ region
- North America
Offices2 records
Markets served
Masterworks business model
Business model- GTM type
- B2C
- Offering type
- Services
- Cost components
- Personnel, Operations, Marketing or Sales, Technology or R&D, Others
Revenue model
- Primary Securities Offerings: Masterworks earns fees from securitizing artworks and selling fractional shares to investors through Regulation A and Regulation D offerings. Investors purchase shares in painting-specific issuers, with Masterworks retaining a portion of the offering proceeds.
- Secondary Trading Transaction Fees: Transaction fees are charged on secondary market trades executed through the North Capital-powered trading platform. Terms of Use references $0.05 per transaction for U.S. residents, with potential fees for non-U.S. residents.
- Masterworks Plus Membership Program: A paid membership program offering enhanced access to investment opportunities, member events, networking, and investment consultations. Membership fees are non-refundable and billed on an agreed-upon cadence. There is no obligation to invest as a condition of membership.
- Art Acquisition & Resale Services: As the largest buyer in the art market with over $1 billion in total transactions, Masterworks earns fees from buying and selling paintings. Through its sister brand Level & Co., it operates a gallery on the Upper East Side of New York to facilitate direct collector transactions.
- Art Fund Management (via Stone Ridge Partnership): Masterworks partnered with Stone Ridge Asset Management to create the Stone Ridge Art Risk Premium Fund (AARTX), the first '40 Act art fund. Masterworks earns partnership revenue from this co-developed fund product, which offers $625M+ notional exposure across 175+ artworks and 50+ artists.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Subscription | Annual | Masterworks Plus Membership with tiered access to investment opportunities, events, and advisory services |
| Transaction based/ take rate | Pay-as-you-go | Secondary Market Trading: $0.05 per transaction for U.S. residents |
| Subscription | Annual | IRA Account Maintenance Fee: $125 per year via Inspira Financial |
| Unit Pricing | One time/ perpetual license | Individual Art Offering Shares — priced per primary offering |
Go-to-market motion3 records
Distribution channels5 records
Marketing channels6 records
Masterworks product offering
Product offeringCore offering
Masterworks securitizes blue-chip paintings and sells fractional shares to retail and accredited investors through SEC-registered Regulation A and Regulation D offerings. The company acquires multi-million dollar artworks, files offering circulars with the SEC, and enables investors to purchase shares in painting-specific issuers with the ability to trade on a secondary market powered by North Capital's PPEX ATS. Masterworks also operates a sister gallery brand (Level & Co.), a self-directed IRA offering via Inspira Financial, and a curated art fund (AARTX) co-developed with Stone Ridge Asset Management.
Product overview
Masterworks operates as a unified art investment platform that democratizes access to blue-chip artworks. The core platform enables fractional ownership of multi-million dollar paintings, while the Trading Market provides secondary liquidity through North Capital. Additional offerings include IRA-compatible investments with Inspira Financial custody, the Price Database for market research, and the premium Masterworks Plus membership. The subsidiary brand Level & Co handles direct art transactions, while the Stone Ridge Art Risk Premium Fund (AARTX) offers a curated portfolio approach. Financial advisors are served through dedicated services with institutional-grade art exposure options.
Differentiator
Problem solved
Functional benefit
Brands
- Level & Co. A sister brand operating a gallery on the Upper East Side of New York City to show art directly to collectors and facilitate art transactions.
Products and services
- Masterworks Platform The primary online platform enabling investors to browse, purchase, and hold fractional shares in multi-million dollar blue-chip artworks via SEC-registered securities offerings. Built for retail and accredited individual investors seeking alternative asset exposure.
- Trading Market Secondary market for buying and selling Masterworks shares, powered by North Capital Private Securities Corporation through the PPEX ATS. Provides liquidity for investors to exit positions before artwork sales, subject to a 90-day waiting period after initial investment.
- Price Database Comprehensive database of artist market appreciation rates, average prices, turnover data, and repeat-sale pairs covering artists from Old Masters to contemporary. Used for investment research and acquisition diligence.
- IRA Investing Self-directed IRA investment feature allowing U.S. investors to hold Masterworks offerings in Traditional or Roth IRAs for tax-advantaged growth. Integrated with Inspira Financial as the passive custodian with ACAT transfer support from existing IRAs.
- Masterworks Plus Membership Program Premium subscription membership program offering enhanced access to investment opportunities, member-exclusive events, networking with art market leaders, and investment consultations. Membership fees are non-refundable and billed on an agreed-upon cadence.
- Stone Ridge Art Risk Premium Fund (AARTX) The first '40 Act art fund, co-developed with Stone Ridge Asset Management. Offers a curated portfolio of art investments with $625M+ notional exposure across 175+ artworks and 50+ artists, distributed as a one-click solution through financial advisors at major custodial platforms.
- Masterworks Advisers RIA Services SEC-registered investment advisory services provided through Masterworks Advisers, LLC, offering point-in-time investment advice on Masterworks offerings via phone consultations with representatives.
- Level & Co. Gallery and Acquisitions Services Sister brand gallery on the Upper East Side of New York City providing art buying and selling services for collectors transacting paintings valued over $500,000 by the top 200+ artists. Supports Masterworks' sourcing and resale operations.
Quantifiable outcome
- 28 paintings sold, all for a profit, with over $67 million distributed back to investors
- +4 more outcomes
Companies that use Masterworks
Customer profileNamed customers2 records
Segments3 records
Ideal customer profiles3 records
Masterworks technology and API
TechnologyTechnology focussed Yes
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
Integration5 records
AI capability2 records
Feature4 records
Masterworks partnerships and signals
Strategic signalPartnerships
Four partnerships are on record, tiered core.
- North Capital Private Securities CorporationcoreNorth Capital operates the PPEX ATS alternative trading system through which Masterworks shareholders can buy and sell Class A shares on the secondary market. North Capital is an SEC-registered broker-dealer and FINRA/SIPC member. The partnership enables the entire secondary trading infrastructure for Masterworks shares.
- Andes Capital GroupcoreAndes Capital Group is a registered broker-dealer and FINRA member firm and participating member of the PPEX ATS. Orders submitted through the Masterworks Platform route through Andes Capital, which submits them to the Trading Platform for execution. Andes Capital is a participating broker-dealer alongside North Capital.
- Stone Ridge Asset ManagementcoreMasterworks partnered with Stone Ridge Asset Management to create the Stone Ridge Art Risk Premium Fund (AARTX), the first '40 Act art fund. AARTX offers a 'one-click' curated portfolio of art investments addable to existing brokerage accounts. The fund has $625M+ notional exposure across 175+ artworks and 50+ artists.
- Level & Co.coreLevel & Co. is Masterworks' sister brand operating a gallery on the Upper East Side of New York City. The gallery facilitates direct art transactions with collectors, supporting both buying and selling of high-value artworks from the top 200+ artists.
Scale indicators10 records
Recent moves6 records
Expansion highlights6 records
Masterworks competitors and assessment
Company assessmentOthers
- Artnet: Artnet is the leading online art market data provider whose price database Masterworks integrates for acquisition diligence. While not a direct competitor, Artnet's auction database, price indexes, and gallery network data are foundational inputs to Masterworks' proprietary research and valuation work.
- Artsy: Artsy is a leading online art marketplace connecting collectors with galleries and auction houses. It serves as both a discovery channel for Masterworks' target buyer and an adjacent platform for art commerce; while not competing in fractional investment, it shapes the broader retail art buying journey.
Broad incumbents
- Sotheby's: Sotheby's is one of the world's largest art auction houses and a direct participant in the blue-chip art market where Masterworks acquires inventory. While it sells whole rather than fractional lots, it competes for the same high-value paintings Masterworks targets for securitization.
- iCapital: iCapital is a leading institutional platform for alternative investments, serving financial advisors and wealth managers. It is broadly comparable to Masterworks on the Stone Ridge AARTX distribution model — providing feeder fund access to alts — though its scope spans private equity, private credit, and hedge funds rather than specializing in art.
- Christie's: Christie's is a leading global art auction house that competes with Sotheby's in the primary auction venue for blue-chip paintings. Masterworks acquires many of its offerings through these auction channels, making Christie's both a supply source and a structural incumbent in the art ecosystem.
- Public.com: Public.com is a broad retail investing platform that has progressively added alternative assets including art, crypto, and private investments. While not art-specialized, it competes for the same retail investor mindshare and increasingly overlaps with Masterworks on alternative-asset distribution.
Emerging players
- Moonfare: Moonfare is a digital private equity and alternatives platform enabling wealthy individuals to access top-tier funds with lower minimums. While its core focus is private equity and venture, its model of fractionalizing institutional alternative assets via feeder funds is structurally analogous to what Masterworks does with art.
Direct peers
- Yieldstreet: Yieldstreet is a leading alternative investment platform offering fractional access to art, real estate, legal finance, and other private market assets to retail investors. It is the closest direct competitor to Masterworks in democratizing access to high-value collectible and alternative investments via Reg A/D-style securities.
- Rally: Rally is a fractional ownership platform for collectible assets including classic cars, watches, and trading cards. It applies a similar securitization model to Masterworks but in adjacent collectible verticals, making it a directly comparable peer on the fractional-ownership business model.
- Arthena: Arthena was a direct fractional art investment competitor that Masterworks acquired in March 2023. It previously offered pooled art funds and individual painting fractional shares to retail investors, and its absorption by Masterworks eliminated one of the few directly comparable platforms in the space.
Market position
Strengths5 records
Weaknesses2 records
Competitive moat6 records
Key risks5 records
Key highlights7 records
Customer concentration
Masterworks social profiles
Digital presenceMasterworks compliance and trust
Trust signalCompliance5 records
Masterworks financial estimates
Financial estimateRevenue estimate
Valuation estimate
Masterworks leadership team
Management profileNumber of profiles
Profiles12 records
Masterworks subsidiaries and ownership
Company hierarchySubsidiaries1 record
Masterworks funding detail
Funding detailFunding overview
Funding rounds2 records
Investors3 records
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Masterworks M&A and investment
M&A and investmentM&A1 record
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Masterworks
What does Masterworks do?
Masterworks securitizes blue-chip paintings and sells fractional shares to retail and accredited investors through SEC-registered Regulation A and Regulation D offerings. The company acquires multi-million dollar artworks, files offering circulars with the SEC, and enables investors to purchase shares in painting-specific issuers with the ability to trade on a secondary market powered by North Capital's PPEX ATS. Masterworks also operates a sister gallery brand (Level & Co.), a self-directed IRA offering via Inspira Financial, and a curated art fund (AARTX) co-developed with Stone Ridge Asset Management.
Is Masterworks a public or private company?
Masterworks is a private company. It is classified as venture growth investor backed and is currently operating.
When was Masterworks founded?
Masterworks was founded in 2017. It employs 101 to 250 people.
Where is Masterworks based?
Masterworks is headquartered in New York, United States, in the North America region.
How does Masterworks make money?
Five revenue lines are on record. Primary Securities Offerings are the primary driver. The others are secondary Trading Transaction Fees, masterworks Plus Membership Program, art Acquisition & Resale Services and art Fund Management (via Stone Ridge Partnership).
Who are Masterworks's main competitors?
Others on record are Artnet and Artsy. Broad incumbents are Sotheby's, iCapital, Christie's and Public.com. Moonfare is listed as an emerging player. Direct peers are Yieldstreet, Rally and Arthena.
Does Masterworks have an API?
No public API is recorded for Masterworks.
What industry is Masterworks in?
Masterworks's product category is Alternative Asset Investment Platform. Its primary akta.pro industry code is FSACACAF, Whole-Business & Franchise Securitization, with a secondary code of MPAJAAAF, Art, Photography & Illustrated Books Publishing. Its NAICS code is 5239 and its SIC code is 6200.