An Irish blockchain startup known as Travacoin is aiming to ensure fair compensation for airline passengers. As reported in the Irish Times, the startup is seeking EUR 1.5 Million in funding to turn its product into a fully working solution. Travacoin is based in University College Dublin and has received government funding for their project. They are currently involved in talks with multiple airlines.
Irish blockchain startup to ensure airline equality
Most people are at the mercy of the airlines when it comes to traveling. In many instances, customers are not compensated at all in the event of delays or cancellations, especially when it comes to adverse weather conditions. This is primarily because people are unaware of their rights, though evidence suggests that people are increasingly insisting on their legal entitlements at the expense of airline companies. To help customers to their legal compensation, Irish blockchain startup Travacoin is working on a cryptocurrency to compensate customers immediately in the event of a delay. The application would be helpful for both customers and the airline.
The only losers would be intermediaries such as insurance companies. Time and resources could be saved as no claims would be filed due to the streamlined procedures. The ability to eliminate costly intermediaries is a frequently cited advantage of DLT, and this elimination of third-parties is industry agnostic. While many believe that this solution is never going to be implemented by the airlines who would prefer their own implementation (much like banks), founder and aviation expert Brian Whelan remains optimistic –
“Airlines could contact passengers and inform them that they have both good and bad news. The bad news is the flight is delayed for a few hours, but the good news is that we’re going to give you a couple of hundred euros in tokens right now. The result for passengers is that don’t have to fight with airlines to get compensation. Furthermore, they could also be offered discounts by other partners to encourage them to spend those tokens in or around the airport.”
DLT in the aviation industry
The aviation industry has been quite slow to adopt distributed ledger technology, but there are signs that this resistance is breaking down. Dubai is set to create the worlds first passport-free airport using DLT and Air Canada are investigating blockchain-based solutions. There are multiple applications, and these solutions can help regarding luggage tracking, identity verification, booking, pre-flight check-in, general logistics, back-end data storage, and customer compensation.
Many are frustrated with the laborious and stressful procedures involved in air travel, and DLT can help to eliminate unnecessary checks and verifications. Ultimately, it can drive down costs and speed up air travel, resulting in a more enjoyable experience for all parties.
Digital Nomad with an interest in Zen and Blockchain technology.
Law graduate with 3 years experience as a consultant in the capital markets industry and 4 years experience freelancing on UpWork as a Creative Writer.