Marcel Duchamp may be considered as an early “transactionalist”. Reflecting value and a fascination for financials was a trait of Duchamp, which accompanied him throughout his production.

In 1919 Duchamp paid his dentist, Daniel Tzanck, a passionate art collector, with a hand drawn enlarged facsimile cheque as compensation for services rendered and as a piece of art at the same time. In 1924 he issued 30 “Monte Carlo Bonds” over 500 Francs each , and apparently raised funds from his friends in order to play Roulette at the Monte Carlo Casino promising 20% p.a. interest redeemable in three years. However, his gambling strategy did not beat the odds, but he didn’t loose either and paid only once 10% interest, one year later. 

 

According to written records, Duchamp did never pay back the principle and, if the numbers are correct, made a profit of 13.500 Francs (initially 15.000 raised, paid back 30x50= 1.500). 

 

In purely financial terms, the purchase of the bond for the investors may appear as a loss, but considering the deal as the acquisition of an original Duchamp artifact (that even earned a 10 % return) it may be construed as a great buy. As with his ready-mades, the accomplished artist Marcel Duchamp creates value by an act of declaration - here in the form of an amicable deal (a contract represented by an artistically designed and signed bond certificate) with his audience, i.e. collectors.