The recent rise in utility NFTs has transformed the non-fungible token market for the better.
Until recently, NFTs were little more than some code associated with a digital resource, such as a JPEG; now NFTs are fast becoming an asset class that provides significantly more value to their holders.
One of the most realistic and exciting implications of utility NFT in the consumer market is their use as tickets, for example for trips, activities and experiences. This trend regarding utility NFTs is already seeing people use the NFT as a “membership card” to get into exclusive clubs and events.
The same approach is used in the travel industry for ticket sales, and allows suppliers and travel agencies to issue smart digital tickets that provide access and provide extra value (or benefit) to holders. Furthermore, these smart tickets are registered on the blockchain, which prevents fraud and enables a thriving secondary market.
Fraud prevention
Perhaps the most obvious benefit of using NFT tickets is the elimination of fraud and scalping. Since each smart ticket is registered on the blockchain, it is verifiable. With traditional ticketing methods, a barcode or QR code can be fraudulently duplicated and sold by scalpers as a fake. This behavior is not possible with NFT smart tickets, as they are inherently verifiable through their underlying blockchain technology.
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In addition, this means that the secondary ticket market can be much safer. “Verified resale” tickets were a step in the right direction, giving the buyer protection against scalpers. Blockchain technology gives suppliers even more control over every step of the resale process. When fans sell tickets after the first purchase, the organizers have insight into the ownership path and activity.
Although NFT tickets have largely been used in the event area, this is only the beginning of the technology’s potential.
Applications in the tourism industry have the potential to offer significant benefits to travelers, both in terms of the benefits and the security features the technology offers. For example, compared to a traditional ticket, the data stored on an NFT ticket will provide smoother identity verification – a feature that is crucial for travelers’ safety.
Opportunity for innovation
Simply put, the reason we see so many innovations in the ticket industry is because the industry’s existing business is rapidly becoming obsolete. QR code technology was introduced in 1994, and bar code technology decades before that. The verification process on which most existing ticket transactions are based has not changed significantly in the decades since its implementation. It’s time for the ticket market to take advantage of the newer technologies.
However, it is not only customers who are looking for solutions, but also legitimate sellers. When a fake ticket is sold, it represents lost revenue for the vendor. And when it comes to travel tickets, providers are constantly looking for ways to improve the safety of their travelers, and this new technology offers this opportunity.
Consumer benefits
From the consumers’ perspective, the NFT ticket process is the same as a traditional mobile ticket, but with the possibility of additional benefits. For example, when a traveler has their ticket on the phone, they scan a code (using a rotating QR code technology that prevents duplication) and are welcomed on board the plane or ship they are traveling with. Once on board, they can receive added value with blockchain-centric rewards, with the NFT ticket available in their Ethereum-based wallet.
NFT tickets are a much safer alternative to traditional ticket methods for both providers and ticket holders. Consumers are looking for solutions to common problems that plague the ticket and travel industry, from scalping and other forms of fraud to a ruined secondary market. By combining the convenience of mobile tickets with the security measures of blockchain technology, NFT tickets are ready to become the future of travel and experiences.
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