Public blockchain project Elastos has announced a partnership with the Real World Asset (RWA) application (dApp), BukProtocol, to extend decentralisation to the travel sector, direct in native Bitcoin.
BukProtocol converts travel bookings and other agreements into tokenised, fully transferable ‘Dynamic Assets’ which can subsequently be monitored, exchanged or traded, in the event of cancellation or itinerary change.
Tokenisation covers all aspects of the travel experience, from travel to accommodation but can potentially extend to other travel-related services such as hospitality, guides or local attractions.
Through Elastos’ BeL2 protocol, the tokenisation process will be completed directly in native Bitcoin, to maximise the integrity, security and liquidity of resulting Smart Contracts.
Travel is notoriously unpredictable, with itineraries, schedules and routes subject to change at the last minute often due to unforeseen incidents, the consequences of which can range from unused accommodation to multiple reimbursement claims.
Tokenisation – and the transparency offered by decentralization – has the potential to mitigate much of the resulting friction faced by travelers and suppliers alike.
To date, over 2.2 million properties have been on-boarded onto the BukProtocol system, including rooms from brands such as The Hilton Group, Marriott and Wyndham Hotels & Resorts.
BukProtocol is available as a white label service for travel suppliers and agencies to better manage their bookings and inventories, which can subsequently be traded across Web2 or Web3 marketplaces.
Arul Prakesh, founder and CEO of BukProtocol, explains that the Elastos partnership is about much more than reaching new audiences for its dApp.
He said: “While a presence within the Elastos ecosystem will certainly boost our visibility and reach, what’s really compelling is BeL2’s potential to complete the entire tokenisation process directly in Bitcoin, a token that most of our audiences are familiar and comfortable with. Bitcoin denomination also maximizes the liquidity – and ‘tradability’ – of resulting assets; a crucial consideration for users.
Elastos’ BeL2 Protocol enables the tokenisation of any travel-related experience – from a journey to accommodation – based on terms defined in a Bitcoin-assured Smart Contract.
Thanks to the protocol, this process can be completed without bridging, wrapping or otherwise interfering with the Bitcoin layer; this both assures the integrity of the currency and avoids network congestion and additional fees that would otherwise result.
Jonathan Hargreaves, global head of growth, describes the partnership as the perfect intersection between Bitcoin tokenization and Real World Assets (RWA).
“BeL2’s unique ZK-proof process – ensuring complete interoperability while leaving the Bitcoin layer entirely untouched – means that Bitcoin’s integrity is fully leveraged throughout the tokenization process.
“In practice, this means that members of the travel community can trade assets (Smart Contracts) directly with each other, completely eliminating the need for intermediaries and the inefficiencies that inevitably result.
“The BUK Protocol is really demonstrating the practical – and exciting – opportunities that can emerge from decentralization; within a sector that’s characterised by unpredictability and sub-optimized inventories,” he said.
