Since the blockchain is decentralised, information can never be accidentally deleted or destroyed as a result of a hostile cyberattack, guaranteeing that transactions are always traceable. For instance, travel agencies must provide client information to hotels and airlines, and customers’ personal effects are frequently transmitted between businesses and tracked.
Blockchain Disrupting The Travel Industry
Here’s how blockchain is reshaping the travel industry—
Secure Payments
Because blockchain is decentralised, it is safe. Peer-to-peer and distributed, decentralised networks function independently of a central authority or server. This implies that you always maintain full control over your money and that nobody else using the system may access it without your permission.
Blockchain is safe because it uses sophisticated encryption to encrypt the data, rendering it difficult for anybody who isn’t authorised to read your data.
You can use secure exchange platforms and hot wallets like the bitcoin era when transacting for your travel expenditures. This will make your payments faster and easier.
Thus, even if hackers are successful in breaking into one of these nodes with the intention of stealing data, they won’t be able to read anything outside of their own node unless they do so from a computer that is physically linked to a separate node somewhere else.
Enhanced Traceability
The sole method to utilise a digital identity for international travel is known as digital traveller identity (KTDI). KTDI is based on blockchain technology in contrast to conventional ID systems that centralised agencies manage.
By doing this, the whole transfer procedure can be tracked by both consumers and airlines, providing complete transparency.
Businesses in the travel and tourist industry are starting to understand the benefits of embracing cryptocurrency as a payment option since it encourages seamless consumer behaviour.
The main advantage of cryptocurrencies is the elimination of conventional payment methods that depend on third-party payment applications.
Payments made using blockchain technology will also take less time to complete, accelerating transaction times and boosting revenues.
Highly Transparent
False positives and false negatives are two very distinct things in the eyes of security providers. Requests that are incorrectly identified as malicious and then banned are known as false positives.
Malicious requests that are not recognised or stopped but are seen as normal are known as false negatives.
The blockchain may be used to publish information on the types of attacks, attack techniques, file signatures, hashes, and any other proofs that demonstrate the validity of an assault.
Automation
Exporters, importers, packers, and any other interested parties may be connected via a privately configured blockchain network into a single chain that would be completely traceable and visible to everyone. Throughout its voyage, the traveller’s luggage regularly changes hands.
A decentralised, transparent database would increase the transparency and independence of tracking data storage with respect to any individual faults occurring at any one location for luggage storage.
Optimized Operations
Private enterprise blockchains, which are verifiable distributed ledgers, may be used by businesses to guarantee the accuracy and transparency of information from suppliers of goods or services.
Blockchain technology can provide safe, almost instantaneous settlements at a cheaper cost than conventional institutions by creating a common ledger for payments.
It is simple to keep track of your cash flow and payments when transaction records are available on the blockchain.
Some Real World Implementation Of Blockchain In The Travel Industry
There are several more particular instances of how the technology is already being used well in addition to these more generic ones that show how blockchain might assist in altering the tourism industry, like:
- Singapore Airlines: With KrisPay, users may convert their air miles into virtual money to pay for services like recommended hotels, restaurants, and shops through the airline’s network of concierge shops.
- Marriot: A distinct, verifiable, and secure digital identity is created for travellers through Known Traveler Digital Identity (KTDI). At passport and visa checkpoints throughout the world, KTDI also does away with the requirement for paper documents.
- Webjet: The business asserts that it has been put to the test both internally and with partners like Thomas Cook and DidaTravel. Australian online travel agency Webjet created Rezchain in-house.
Additionally, some startups in the travel industry have also adopted blockchain to improve their services, like— Winding Tree, Loyyal, Atlas, Trippki and Beenest.
Conclusion
Crypto service providers are adjusting to the fact that this rule will be implemented differently in different countries.
The job of implementing reliable self-compliance systems that would take into account the varying needs of various nations and apply them properly is placed on VASPs.
For all trip rule protocols, the crypto community has agreed on a common data message format. Some people think that laws like the travel rule give regulators the ability and information they need to monitor and punish cryptocurrency users.