BLOCKCHAIN TECHNOLOGY AND THE TRAVEL INDUSTRY
It is no longer news that the idea of blockchain is quickly spreading than most recent ideas in the tech world, as several governmental and non-governmental sectors are seizing the massive advantages of blockchain to enhance their output. However, blockchain was created solely to protect digital assets and data to ensure that it does not get reformed by any means or maneuvered. Instead, it keeps a record of duplicated transactions throughout a scientific network consisting of computer systems through the blockchain.
How the blockchain technology has transformed the travel industry
The prevalence of blockchain technology in most contemporary industries cannot be overemphasized as the uses for blockchain are more than meets the eye. It has been proved beyond reasonable doubt that sectors that have adopted blockchain have experienced reasonably advanced progress when compared to those that are still lagging. The recognition of these noticeable advancements has been the leading factor that currently spurs most sectors of the economy to explore the idea of blockchain technology.
More specifically, the travel industry benefits significantly from blockchain technology. It definitely provides the optimum level of security and stability that the travel and tourism market needs, in that there is a guarantee that information stored using the blockchain technology can never be caught inside the pawns of external cyber-attack, neither can it be deleted mistakenly. Furthermore, it creates an avenue for automatic backup, meaning that they can always trace files even in cases of the apparent loss of files.
In the same vein, a very good example is in the aspect of financial services. While the travel industry is saddled with the responsibility of processing payments, the blockchain makes this process more efficient now than previously by making it easier for the industry to secure payments without any hassle, especially when it comes to international transactions. In addition, it increases the level of trust that potential customers are willing to deposit into a particular organization and gives room for traceable payments to protect the customers’ interests by ensuring due diligence in processing all information.
Also, when it comes to transportation, the travel industry makes use of a sizeable variety of companies when they seek to transmit information. A perfect example of this is that those in charge of processing customers’ flights juggle through the processes of providing their details to lodges and other companies, especially when it comes to the movement of customers’ luggage.
Moving customers’ luggage from one point to another would mean that this luggage changes hands multiple times in the course of the traveling. Hence, making use of a decentralized database system such as blockchain technology for these kinds of tasks helps the travel industry to keep a record of customers’ information safely. It also provides the means to easily access these files without the fear of accidental loss of files, which makes their belongings even more secure.
How Blockchain is Reworking The Travel Industry
In the past, the status quo for the travel industry was that there were too many complexities involved in successfully conveying customers to their desired destination, especially in terms of finances and luggage delivery. However, in recent times, the change in the perspectives of modern advancements such as blockchain technology and Artificial Intelligence (AI) has vastly improved the sector. The use of these innovative technologies has enhanced the growth of the travel industry and tourism market beyond expectations.
Initially, travelers were operating a kind of indirect system. But as it stands, the process of source travel has become relatively seamless, and the use of blockchain has given room for an increased level of transparency and safety, such that a number of individuals, groups, and organizations are involved in the transportation process at every stage including hotel check-in, boarding, and booking. This also improves the process of traveler’s identity verification.
Another major turnaround that blockchain technology has brought into the travel industry and that many travel and tourism companies are now enjoying is the issue of luggage tracking as travelers’ belongings are being transported from one place to another. Blockchain makes it possible for travel agencies to store data related to the luggage, which is reasonably accessible to the traveler as well, hence protecting traveler’s baggage from being misplaced or handled roughly.
The future of the Blockchain Within the Travel Industry
Most relatively new concepts usually have a bleakly potential in their respective functioning capacities, but this is not the case for blockchain technology; its future seems quite promising since it is getting relevance in much more than finance (buying and selling on redot.com, and other amazing platforms). The new travel blockchain system is pretty beneficial to travel agencies and tourism. One of its most pronounced potentials is that the decentralized nature of blockchain technology makes it helpful for the travel industry to expand as wide as it can without restrictions.
This is because the result of the combination of blockchain technology and AI that is fast-rising is quite formidable. Moreover, more critical innovations are coming up by the minute, revealing other uses for blockchain that one would not have ever conceived, and this is having a positively rewarding effect on the output of the travel industry.
Practical application of the Blockchain technology
Blockchain technology sometimes seems complex in theory, partly because most people have erroneously believed that it’s only through the use of cryptos like Bitcoin, Ethereum, etc., that one can utilize blockchain technology, and a lot of people find the concept complex. However, when it comes to its practice, blockchain technology is not so daunting because it has other equally beneficial uses apart from the widely held opinions of most people to buy crypto dips and sell crypto.
Here is how it works: blockchain technology combines a trio-technology concept that includes a ledger of a peer-to-peer network, cryptographic keys (public and private), and a digital space for storing records and transactions. So, for example, if two people are in a state of conducting a transaction, the public key of the second person would be connected with the first party’s public key. Both information would be compiled into a “block”; it is always encrypted mainly to transmit it through a reliable network that would permanently protect such information.