Kinsale Spirit Co makes history with $100k NFT sale of rare whiskey cask

The money raised by the auction will be used to assist in establishing a new distillery near Summercove, Kinsale.
Kinsale Spirit Co makes history with $100k NFT sale of rare whiskey cask

Kinsale Spirit Company described the cask - one of the few that remain from Cooley's original distillery in Co Louth - as a "rare piece of history".

The first ever whiskey cask in the form of a non-fungible token (NFT) has been auctioned by Kinsale Spirit Company.

The Cork distillery successfully auctioned the rare cask on OpenSea crypto marketplace, selling it for $100,000 (€83,000).

The auction far exceeded the company's expectations as they aimed to raise a minimum of €60,000. The money will be used to assist in establishing their new distillery near Summercove, Kinsale.

An NFT is a one-of-a-kind digital asset that has a distinct cryptographic token that cannot be replicated. This acts as a certificate of ownership for virtual or physical assets, protecting the good's value.

Usually, the buyer of an NFT would not receive the physical item but the anonymous buyer of this cask will get the actual cask.

Kinsale Spirit Company described the cask - one of the few that remain from Cooley's original distillery in Co Louth - as a "rare piece of history". The whiskey, Pallet No. 14730 is from 2001 and resides in an ex-bourbon barrel.

The opportunity to purchase the first whiskey cask represented by an NFT was presented to a private group of early investors in crypto who are in the distillery's network.

The investment case for whiskey, particularly casks, is similar to Bitcoin in that both are seen as a store of value and are both asset classes that inflation fearing investors are increasingly flocking to in order to protect their purchasing power.

Co-Director of Kinsale Spirit Company, Colin Ross, is hopeful the auction will help the distillery to make its mark on the global stage. Picture: Kinsale Spirit Company
Co-Director of Kinsale Spirit Company, Colin Ross, is hopeful the auction will help the distillery to make its mark on the global stage. Picture: Kinsale Spirit Company

Co-Director of Kinsale Spirit Company, Colin Ross, is hopeful the auction will help the distillery to make its mark on the global stage.

"From the fundraising perspective, I think this is a novel (/world first) methodology by which unique and rare whiskeys can be offered to a whole swathe of interested and liquid investors who want to see long-term value and collectability, while giving Kinsale Spirit Company increased resources to action our significant plans to build a distillery in Kinsale and export multiple brands on a global scale," said Mr Ross.

Earlier this year, the distillery sent its first shipment of gin and whiskey for export to China.

After establishing sales in the US, the Kinsale Spirit Company commenced exports of its Kinsale Gin and Red Earl Irish whiskey products.

Business partner Ernest Cantillon said the auction has generated a lot of international interest.

"We are delighted to be bring some technological innovation to the whiskey world, a space synonymous with tradition," said Mr Cantillon.

"To be the first to do this was our primary goal - it’s hard to stand out as a relative new comer - but to exceed our sale target is a real bonus."

Going forward, Kinsale Spirit Company plans to integrate digital auctions into their offering - combining digital and physical.

More in this section

Puzzles logo
IE-logo

Puzzles hub

Visit our brain gym where you will find simple and cryptic crosswords, sudoku puzzles and much more. Updated at midnight every day. PS ... We would love to hear your feedback on the section right HERE.

Puzzles logo
IE-logo

Puzzles hub

Visit our brain gym where you will find simple and cryptic crosswords, sudoku puzzles and much more. Updated at midnight every day. PS ... We would love to hear your feedback on the section right HERE.

logo podcast

War of Independence Podcast

A special four-part series hosted by Mick Clifford

Available on
www.irishexaminer.com/podcasts

IE logo

Commemorating 100 years since the War of Independence

IE_logo_newsletters

Select your favourite newsletters and get the best of Irish Examiner delivered to your inbox

LOTTO RESULTS

Wednesday, January 26, 2022

  • 2
  • 17
  • 19
  • 22
  • 36
  • 45
  • 32

Full Lotto draw results »