|>>|| No. 4741
Rich people buy art at charity auctions for lower then it's appraised value.
let it 'appriciate' for a while and get it reapraised
Then they donate it to a charity for auction.
They then get to mark that as a charitable contribution which means they can off set it against their tax, and they get the value it was appraised at not the auction price.
Art is bought by next rich person at charity aution for 'less than it is worth'.
Art is usually unique so they can say it is priced whatever they want even if it is a scribble as long as it has an artist name they have massaged to mean something it can have a multi million price tag.
Pic related this painting is worth 300 million and I don't think it is purely because someone likes it that much.