What is crypto tourism and how does it work? If you have a few cryptos in your pocket and planning a trip, read this article before packing your suitcase.

The growth of the tourism industry is nothing small, as it comes only second after the manufacturing sector. According to the World Travel and Tourism Council, the industry rose 3.9 percent in 2019 compared to 3.2 percent global GDP growth.

At the same time, the emergence of cryptocurrencies has changed important parts of our daily lives, such as buying things, paying, and the way we travel. Nowadays it's even getting easier to obtain Bitcoin for you can simply use your own credit card. 

Seeing the bright prospect of cryptocurrency, the tourism industry players are starting to integrate crypto technology and make it into crypto tourism. For the millennial generation onwards, crypto tourism is something that is quickly embraced for its sophisticated nature.

what is crypto tourism

What makes crypto tourism so popular? What are the advantages of crypto tourism that cannot be found in traditional tourism? Let's see the explanation below.

 

What is Crypto Tourism?

Crypto tourism is a form of tourism that caters to cryptocurrency enthusiasts by offering travel packages. Of course, you need to pay for all accommodations with digital currency.

Isn't cryptocurrency still not widely accepted globally? While the notion is true, the skyrocketing price of cryptocurrencies has attracted many companies to accept Bitcoin and other digital currencies as offline and online payment methods. This surge of interest is utilized by tourism businesses to launch special travel programs for crypto enthusiasts.

 

The Benefit of Crypto Tourism

Not only cryptocurrencies are allowed to pay for trips, but they also provide travelers a variety of advantages.

Payments for hotels, agents, and booking sites can be complex, especially when it comes to cross-border payments. But when the transfers use cryptocurrencies, it can be a smart solution as it removes middlemen and the time it takes to complete payments is remarkably reduced. 

Crypto can play a faster, cheaper, and safer alternative to traditional money in the travel and tourism industry. Besides, the whole process has become much more transparent so there will be a smaller chance for shady agents to inflate the price irresponsibly.

In addition, employees can work more effectively and the excessive costs can be significantly reduced. Tours that aim to teach digital currencies are able to help novice crypto investors how to invest and navigate the crypto market. You have the opportunity to meet crypto experts during the travel program too.

Or perhaps do you want to develop a tourism business in your area? Just take advantage of crypto tourism as a marketing tool to attract millennials and gen z members.

 

Crypto Tourism Drawback

Guess when the travel industry started to embrace cryptocurrencies. Is it 2018? Before the pandemic?

As a matter of fact, crypto tourism has been existing for even longer than that. Check out Expedia, the American online travel shopping company that joined forces with Coinbase in 2014, where customers were able to pay for hotels with Bitcoin.

Expedia was a pioneer in introducing crypto payments, but sadly, they were short-lived. The company actually stopped accepting Bitcoin in 2018. How come?

The reason is simple, Bitcoin is too unstable to be used in travel transactions.

Not only that but some cautions also arise on crypto tours or crypto tourism in general. It goes without saying that the cryptocurrency market operates in a way that is not very clear and mostly unregulated by officials, although many jurisdictions out there, like Dubai, have legalized the use of cryptocurrency in the near future.

In fact, crypto tours are often accused of being used only as a medium of promoting ICO and other dubious crypto projects to participants.

ICO or Initial Coin Offering is an opportunity where cryptocurrency startup firms raise money or commonly called crowdfunding, to fund the creation of coins to investors. In exchange, investors will receive a unique cryptocurrency token in return for their investment. ICOs make people flip out as they promise big and easy profits. But, there will be always some bad ICO projects which can trap and scam you.

Another drawback is the small market share of crypto tourism compared to conventional tourism. This is because there are still few crypto users in the real world.

 

Who Uses Crypto Tourism?

The main target of crypto tourism is usually the crypto-rich and famous. This consists of cryptocurrency industry leaders, institutional investors who are interested in cryptocurrencies, venture capitalists, professional traders, and other wealthy clients who are not crypto savvy but have plenty of money to squander.

Previously, crypto tourism participants were scrutinized carefully because the tour committee wanted to ensure that partakers were financially stable and willing to invest in volatile markets such as cryptocurrencies.

See also: Best Performing Cryptocurrencies

As mentioned above, several crypto tours were organized for the purpose of promoting promising initial coin offerings (ICOs) with multiple agendas: conferences, presentations, talks by promoters and industry leaders, all to reach the likes of potential investors looking to invest in a cryptocurrency.

However, with the increasing popularity of cryptocurrencies, many ordinary people have become interested in joining crypto tourism or using cryptocurrencies to pay for their vacations. The new generation of travelers, particularly gen z is finally demanding an alternative, simpler method of payment to finance their trips.

 

Example of Crypto Tourism

Before the pandemic hit, traveling to Australia was made easy by several tour companies in Queensland that offer travel programs to the Southern Great Barrier Reef with all the expenses paid via cryptocurrency. 

Another form of crypto tourism takes the form of cruise ship tours, which offer a number of facilities dedicated to cryptocurrency owners. One example is Blockchain Cruises presented by the tourism division of crypto wallet provider CoinsBank. One of the voyages sailed in Europe which lasted five days covering the Mediterranean. Around 2,500 participants joined the cruise.

Recently, the world's leading crypto-friendly travel agency, Travala.com, reported that one in four Americans plan to use cryptocurrency. They found that 38% of Americans have post-pandemic travel plans and are willing to use cryptocurrency to pay for trips.

In the past year, the COVID-19 pandemic brought crypto and the tourism industry to a halt. However, as the pace of vaccinations has increased across the globe, tourism is expected to recover.

We can see that consumers are ready to explore the world using digital coins, but is the tourism business ready for such demand? Well, some tourist spots, hotels, and travel packages already accepted cryptocurrency as payments since a long time ago. Here's a list of tourist destinations and companies that crypto users shouldn't miss:

 

1. CheapAir.com

CheapAir is a California-based travel agency offers flights on all major airlines and to all major airports worldwide. They accept Bitcoin as an alternative form of payment since 2013.

CheapAir

 

2. Destinia.com

This Spanish travel agency accepts payments via BTC and BCH. If you want to see how much flights and accommodation cost in cryptocurrency, you can simply visit their site.

See also: List of Cryptocurrency Exchanges with the Lowest Fees

 

3. ABitSky.com

Travel agency ABitSky.com connects flights from Europe to the rest of the world by only accepting Bitcoin payments. They also share several tips on how to use Bitcoin for travel and payment purposes.

 

4. The Pavilions Hotels & Resorts

Guests staying at any of The Pavilions Hotel & Resorts networks can pay for their stay using cryptocurrencies, such as Bitcoin, Ethereum, and 40 other popular virtual currencies. The Pavilions branches have expanded in Europe and Asia; from three boutique hotels in Rome to tropical residences in Phuket.

 

5. H.I.S

The Japanese travel agency started accepting Bitcoin payments in 2017, via Japan-based Bitcoin exchange BitFlyer. The company claims that H.I.S. is the first major company in Japan to accept digital currency in the travel industry.

 

6. New Resorts World Las Vegas

Resorts World Las Vegas is the first casino resort to accept cryptocurrency payments. The new property in Nevada provides crypto payments in collaboration with crypto exchange company Gemini.

 

7. Bobby Hotel

Located in Nashville, Tennessee, this hotel allows guests to book stays and events using Dogecoin and other cryptocurrencies through BitPay. Guests at Bobby Hotel can simply scan a QR code upon check-out to process payments via their respective crypto wallets.

In addition to the list above, there is also El Salvador which became the first country in the world to officially determine Bitcoin as a legal currency. The new law means every service or goods business must take Bitcoin as legal tender, so this brings inclusion to the tourism sector in the country.

 

EndNote

The number of travelers who use crypto payments is increasing in number. Paying with cryptocurrency allows you to avoid high fees when converting currencies, admin fees when withdrawing money, as well as reducing the risk of fraud. Sounds tempting, doesn't it?

Thus, it is no wonder that crypto tourism is a promising investment that unites crypto owners and businesses in the tourism industry. Nevertheless, it is important that you are not blinded by the razzle-dazzle of crypto tourism. As a beginner, you must first study and perform thorough research to determine if crypto tourism is worth all the risk of owning a cryptocurrency. It is best to own a cryptocurrency as an investment and later uses the profit as payment for tours than buying a coin just for the sake of participating in crypto tourism.