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How blockchain technology is transforming the travel industry

Stability and security are two of the essential benefits that blockchain technology provides to the travel sector.

By LLM Reporters  |  July 13, 2022
digital technology

The idea of travel is evolving. From the advent of air travel to hotel stays, and now to a more mobile and global world, tourism has gone through numerous changes over the years. Today, we’re in an era where technology is increasingly driving this industry forward. And as a result, there are more opportunities for travellers than ever before. Whether you’re booking a trip or staying at an Airbnb property, the companies that are providing these services are relying on a variety of technological innovations to ensure your travel experience is seamless.

One such innovation comes from blockchain technology and digital ledger systems. While blockchain technology’s impact on tourism has so far been relatively small – the World Travel and Tourism Council (WTTC) predicts that this year’s overall increase in tourism revenue will come from blockchain and cryptocurrency markets like the US – the future of travel looks promising for those who want to explore blockchain further.

Keep reading to learn more about why these elements will have an impact on the future of tourism.

Your travel is secure

Blockchain is secure because it is decentralised. Decentralised systems are peer-to-peer and distributed, meaning they don’t rely on a central authority or server to operate. This means that you have complete control over your funds at all times, and no single person can access them without permission or consent from everyone else using the system.

Blockchain is also secure because it encrypts the information using advanced cryptography techniques that make it impossible for someone who isn’t authorised to view your data.

So, even if hackers do manage to break into one of these nodes in hopes of stealing information, they won’t be able to read anything outside their own node unless they gain access from another computer connected directly to a different node somewhere else.

digital world
The decentralised nature of blockchain technology means that transactions can be recorded without the need for a third party, which speeds up anything that requires verification

It’s fast

The decentralised nature of blockchain technology means that transactions can be recorded without the need for a third party, which speeds up anything that requires verification. This reduces transaction duration and processing times, which is particularly important when it comes to financial transactions that involve complex cross-border documentation.

Blockchain networks use cryptography to secure their transactions, ensuring users’ identities remain anonymous while ensuring the integrity of their data at all times (unless they choose otherwise). This makes these platforms more secure than traditional databases because hackers cannot access them easily. Even if they tried to guess passwords or brute force their way through firewalls because there are none.

It’s transparent

Blockchain technology has the power to create a more transparent tourism industry. It does so by making sure that cryptocurrency prices and changes in the cryptocurrency value for any given coin are transparent. That way, people can rest assured that no one is manipulating the markets.

It can help eliminate fraud, corruption, and bureaucracy that can be common in the industry. This means that you will know exactly who is running your tour, how much money you are spending, and where it is going. You can also see how environmentally friendly each tour operator is before making a booking decision. This can help protect the environment by encouraging businesses to adopt sustainable practices like using renewable energy for transport or sourcing food locally.

You have control of your money

In the travel industry, there are many risks that you must consider. You have to worry about identity theft, credit card fraud, and fraudulent transactions. Blockchain technology can help eliminate these concerns by providing a secure digital environment where you can make transactions with confidence.

That means your money is safe from hackers and thieves because they cannot access your funds without permission from an authorised party (you). It also means that no other entity has control over your money – which means they can’t use it for illegal purposes or even freeze all of your funds in an attempt to extort you into sending more money than originally agreed upon.

You know where your money is going

A blockchain is a digital ledger that records transactions in an open and distributed manner. Each transaction is stored with a timestamp and can be viewed by anyone on the network. This allows you to see how much money you have in your account at any given moment, as well as how much money has been spent or earned in the past. This information can also be used to identify where your funds are going, preventing fraud or theft from occurring at any point along the way.

As an added benefit, because all of this data is stored on the blockchain, there are fewer opportunities for hackers to access sensitive information about customers’ accounts and steal their identities outright through phishing scams – a major problem for businesses who rely heavily on online payments for their revenue streams.

Blockchain technology
Blockchain technology is a public ledger that everyone can access

Blockchain technology enhances online accessibility

Blockchain technology is a public ledger that everyone can access. This means that, in theory, blockchain technology makes it easier for anyone to participate in the tourism industry. Previously, only large companies like Expedia and were able to provide travel services through centralised databases, but now anyone can use these platforms as well.

The accessibility of blockchain technology has also helped make online booking accessible to more people. In fact, many hotels are offering discounts or other incentives during certain times of year just so they can keep up with demand.

It’s open to improvement and adaptation

You may be wondering whether blockchain technology is a good fit for your business. Concerns about scalability, security, and long-term viability are valid, but these concerns pale in comparison to the benefits of adopting this new technology. Blockchain has been used by several companies to solve real-world problems and improve their businesses overall.

Tourism is a $7.6 trillion industry, and it’s growing. In fact, according to the WTTC, in 2018 alone the travel and tourism sector contributed $7.3 trillion to the global GDP. Blockchain technology is only going to make it more profitable and efficient.