Summer is just around the corner, and we thought it may be a good time to give a run down of how the travel industry is being disrupted by Blockchains and Distributed Ledger Technology (DLT).
To proceed further, there are a couple of things you need to know. If you are a travel enthusiast and not very tech savvy, let us help you out with some of the terms that will be used in this article and if you have already familiarized yourself with these topics – just bear with us.
Blockchain: A blockchain is a distributed transaction ledger having capabilities of storing and processing data with fool-proof security potential. The information is saved in the form of blocks making it almost impossible for hackers to break in.
Cryptocurrency: A cryptocurrency is a digital currency which is stored on the blockchain. Cryptocurrencies are not issued centrally and thus the identity of the holder is not revealed.
IEO: In layman’s term, an IEO is “Initial Exchange Offering”; a method used by a company to raise funding with the Exchange being the intermediary and in return the company offers its cryptocurrency. Hence, the method is safe and secure, and involves a third party (an exchange) to avoid any mistrust.
The digital era provides a lot of opportunities to millennial tourists. Digital marketplaces are replete with apps that help you plan your next vacation, book accommodation or pick the right restaurant for the occasion. The services these apps provide can manifest in many forms – logistical, educational or just pure fun.
The travel and tourism industry has so far evaded the eye of blockchain developers but there are a few interesting companies belonging to this sector that utilize the potential of blockchain technology.
According to Forbes, the travel and tourism industry is one of the ripest to be disrupted by blockchain technology and decentralization and projects like Lock Trip, Winding Tree and Bee Token (which aims to disrupt the market leader AirBnB).
Other aspects include using blockchain technology to enhance airport security, something that has been on everyone’s minds in recent decades. According to Skift the US government could be a leader in this application of blockchain at airports.
Another interesting angle is travel finance, and Airsave Travel is a company that merges blockchain technology with the tourism sector to provide financial services to travel enthusiasts. Approved and already operational on the Apple App Store, the app is unique in that it not only helps users save but also earn in parallel for their next trip abroad. When you think about it, vacations are supposed to be calming, but it’s hard to unwind when you’re continuously stressing about how you’re going to pay for it all. With summer nearly upon us and the images of road trips, cruises and much-needed breaks are appearing in front of your eyes, now is the time to start saving up for that vacation you have been dreaming of all winter. With a little creativity, you can make it happen and be ready to hit the road or beach, without going into debt to do it so players like Airsave are launching at an opportune time.
While many blockchain travel startups went for the now discredited ICO (initial exchange offering) method of fundraising. Airsave Travel is set to launch its IEO via ExMarkets Exchange on the 1st May 2019 .
There are many areas where Blockchain can be tremendously disruptive to the incumbents and return value to consumers but the travel industry seems to be leading the pack. Start packing your bags.