blockchain and tourism applications for travels

The tourism industry is among the fastest-growing industries in the world. With people becoming increasingly conscious of their social and environmental footprint, the demand for sustainable solutions that also offer personal value has grown significantly.

Whether it’s a regular tour or an adventurous one, most travelers prefer to learn more about the areas they’ll be seeing before making a reservation.

However, as we all probably know, this isn’t always the case. With hacks on prominent brands such as Marriott, Starwood Hotels, and Hyatt hotels still fresh on our minds, the trust factor among travelers has taken a major hit.

When traveling, there is a need for more security and transparency concerning user data and transactions. And with technology emerging as an answer to many trust issues, let’s look at how Blockchain for tourism can transform the travel industry in the coming years.

How Blockchain can solve the challenges in the travel and tourism industry

In a world where many tourism companies still rely on paper ticketing, outdated database systems, and a lack of transparency, Blockchain technology provides a unique opportunity to address some of the travel industry’s major challenges for years.

In case of fraud, the technology can help identify fraudulent activities in real time and protect companies against the consequences. The same goes for ticket booking systems that can be easily manipulated.

Moreover, Blockchain technology offers solutions when it comes to providing a greater level of safety and security when it comes to sensitive information, such as health and medical conditions.

Blockchain technology can also help with identity theft by creating a more secure ID verification system. Airlines and airports can also use Blockchain to track and trace luggage through the airport and onto airplanes, making it easier for travelers to identify where their luggage is.

Given the above, it’s easy to see how Blockchain technology can help make the travel industry more secure, efficient, and sustainable. And below are some ways that Blockchain technology is solving the challenges facing the tourism industry.

💸 Fluctuations in the currency exchange rate

When traveling to another country, there are many things to consider, such as which currency to use for payment and how much that money will be worth in the new location. As the value of the currencies fluctuates daily, travelers often find themselves exchanging money at a bad time, losing money in the process.

With Blockchain, you can exchange value in the form of cryptocurrency, and that value remains the same regardless of the time or day. This will be especially beneficial when traveling to developing countries where currencies are more volatile due to less liquidity. You don’t have to worry about the value of your money changing and losing money as a result.

🔒 Security

Airlines are always looking for ways to improve the security and safety of the people traveling in their aircraft. In addition, airports and their operators are required to meet strict safety standards. However, with the advent of the internet and the rise of online transactions, these organizations are at risk of cyber attacks.

Blockchain technology provides a secure decentralized, distributed ledger that can’t be tampered with. This means that all your information is encrypted and safe, making it almost impossible to be breached or hacked. This can also apply to hotels and other entities that require sensitive information, such as medical conditions.

🎒 Tracking luggage

Luggage is one of the largest complaints when traveling by air. With hundreds of thousands of bags being misplaced by airlines every year, a system that can monitor luggage’s whereabouts is required. And also, there needs to be a way to prove that the person who claims a bag actually owns it.

Blockchain technology can create a secure tracking system to help passengers know exactly where their luggage is located. This can be done either through an application on your phone or a physical chip scanned by airport personnel. The same system can be integrated with hotels and other types of lodging. This will let guests know where their bags are and when they will reach their final destination.

🛂 Identification services

Travelers visiting other countries are often obligated to present a form of identification, such as their national identity card, to ascertain that they are who they say they are. It is common for people to use false identification when traveling. In some countries, this can result in criminal charges and fines.

A Blockchain-based system can create an ID that customs officials can verify upon arrival. This will make it harder for people to use false identification.

👍 Secure and traceable payments

Many people use an online travel agency (OTA) such as Expedia or when booking a trip. With these arrangements, travelers are often required to use a credit card to pay for their reservations. This opens up the potential for fraud, as the person receiving your payment information can claim to be the OTA and request a new card.

This fraud is expensive to resolve and can create a lot of unnecessary headaches for travelers. A Blockchain-based payment system can help avoid this type of fraud by verifying the identity of the person making the payment. This can be done through a photo ID, a fingerprint, or any other reliable form of identification, making it much harder to use someone else’s payment information.

🔍 Identifying loyal customers

One of the most significant benefits of Blockchain technology is the ability to create a more personalized experience. This can be done by storing information about your travels, such as how many miles you’ve flown and the hotels you’ve stayed in. In addition, Blockchain technology can create a loyalty program for frequent travelers.

This can be similar to the frequent flyer programs that airlines currently offer. Travelers can collect points based on the total money they spend on hotels and flights. This can be done by integrating Blockchain technology into the reservation system used by airlines and hotels.

5 Applications of Blockchain for tourism and travels

blockchain for tourism: people crossing a street
Credits: Jacek Dylag via Unsplash

Although Blockchain technology is still in its early stages, it’s already showing immense potential for application in various industries. One Industry that benefits greatly from Blockchain implementation is the travel industry.

From booking airfare and hotels to receiving recommendations for attractions and restaurants, there are a number of ways Blockchain can make travel more efficient and secure. Here are five ways Blockchain is used in travel and how it can benefit travelers.

1. Decentralized booking

Decentralized booking systems are becoming increasingly popular in the travel industry. By using Blockchain technology, these systems offer a more secure and efficient way to book travel.

There are many benefits to using a decentralized booking system. One of the main benefits is that it reduces the risk of fraud. With traditional booking systems, there is always the possibility that someone could hack into the system and change the booking details. This is much harder with a decentralized system, as all the data is stored on the Blockchain.

Another benefit is that decentralized booking systems are often faster and more efficient than traditional systems. This is because they can be used to automate many of the tasks involved in making a booking, such as checking availability and confirming payments.

This can save a lot of time for both travelers and travel businesses. Blockchain technology is also becoming increasingly popular in other areas of travel, such as loyalty programs and identity management. We expect to see even more Blockchain applications in travel as it develops.

2. Elimination of flight delays

The elimination of flight delays is one of the most significant applications of Blockchain for travel. Blockchain can decouple air travel from airlines and airport infrastructure by tokenizing airtime. This would enable a new decentralized air travel market where independent entities schedule and operate flights.

With Blockchain, there would be no need for centralized flight control or airports. Flights could take off and land at any location with the necessary infrastructure. This would significantly reduce the cost of air travel and make it more accessible to people worldwide.

Blockchain could also be used to track aircraft maintenance, preventing delays due to mechanical problems. Each aircraft would have a digital record of its maintenance history that anyone in the network could access. This would allow airlines to identify and fix any issues before they cause delays quickly.

The use of Blockchain for air travel is still in its early stages, but the potential benefits are clear. If fully implemented, Blockchain could eliminate many of the headaches associated with flying, making air travel more efficient and enjoyable for everyone involved.

3. Secured payments

There are different ways in which Blockchain can be used to secure payments. For instance, Blockchain can be used to create a tamper-proof record of transactions. This means that if a traveler tries to dispute a charge, their credit card company or bank can see that they have actually made the purchase.

Additionally, Blockchain can be used to process payments quickly and securely. This is because Blockchain allows for peer-to-peer transactions without needing a third party (like a bank) to approve the transaction.

Another way in which Blockchain can be used to secure payments is through the use of smart contracts. Smart contracts are essentially self-executing contracts that are stored on the Blockchain. This means that a contract cannot be altered or canceled once a contract is signed. This provides a high level of security for both the traveler and the travel company.

Ultimately, Blockchain provides a secure and efficient way to process payments made by travelers. This is why we see many travel companies incorporate Blockchain into their payment processing systems.

4. Loyalty schemes

Loyalty schemes are a great way to encourage customers to return to your business. By offering rewards for their loyalty, you can create a system that encourages customers to continue using your services.

Blockchain technology can be used to create loyalty schemes that are secure, transparent, and tamper-proof. This makes it an ideal solution for businesses looking to create loyalty programs that offer real value to their customers.

With Blockchain-based loyalty schemes, businesses can issue digital tokens that can be redeemed for rewards. These tokens can be stored in a secure wallet, ensuring they cannot be lost or stolen. Additionally, Blockchain provides a transparent and tamper-proof ledger of all transactions, making it easy for businesses to track and verify customer activity.

Blockchain-based loyalty programs have the potential to redefine the way businesses interact with their customers. By offering secure and transparent rewards programs, businesses can build customer trust and loyalty. With Blockchain, businesses can offer their customers real value that incentivizes them to keep coming back.

5. Trouble-free baggage tracking

Blockchain technology can help streamline the process of tracking luggage, as each bag can be equipped with a unique identifier stored on the Blockchain. This would allow for real-time tracking of luggage, as well as a tamper-proof record of its journey.

Additionally, Blockchain-based luggage tracking could help to reduce lost baggage, as well as improve the efficiency of baggage handling at airports.

Benefits of Blockchain in the travel industry

Beyond the above benefits, Blockchain can also be used to make it easier to find the best deals on flights and hotels. This can be done by creating a decentralized database of available inventory, which several travel startups do.

With a decentralized database, it’s easier to find the best prices on the market and book them quickly. This can also help create a more sustainable industry that minimizes waste and energy consumption.

In addition to this, Blockchain also allows you to share your travel plans with friends and family. This can help make the experience more social, allowing friends and family members to follow and track your trip.

Examples of companies using Blockchain for travel and tourism

There are many companies that are capitalizing on Blockchain technology in the travel industry. For example:

  1. Traxia is a company connecting suppliers and buyers in the trade finance industry and applying Blockchain technology to the process.
  2. Winding Tree is applying Blockchain technology to bring greater transparency to the travel industry.
  3. Triviacoin, based in Turkey, uses Blockchain technology to improve the sustainability of the travel industry.

Beyond this, many travel and tourism companies are also using Blockchain technology to offer more personalized and sustainable solutions. These include companies such as TravelChain, based in the UK, which uses Blockchain technology to bring more transparency to the travel industry.


The travel industry is among the most promising spheres for implementing Blockchain technology. With its pre-existing trust issues, intermediaries, and fragmented data that has to be constantly updated, the sector is a prime candidate for disruption by DLTs (distributed ledgers) like the Blockchain.

Recently, thanks to platforms like Airbnb and TripAdvisor, travelers have had greater access to information about hotels, restaurants, and things to do near them. However, this also means that travelers have more information than ever before when making decisions about their trips.

And because of this abundance of information—and the trust issues that arise from relying on it—many people are beginning to wonder whether there’s a way to use an immutable ledger system like Blockchain technology to make bookings or reservations more trustworthy or transparent.

See you soon,

Scaling Parrots

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