Hotels To Start Using NFTs To Avoid Losses From Cancellations

Just when you thought post-pandemic travel couldn’t be more problematic, some hotels will soon be avoiding losing money from last-minute cancellations by converting room nights into nonfungible tokens or NFTs.

This means that instead of being able to re-book, you’ll be asked to sell your reservation as an NFT on a platform for room night NFTs, not unlike the StubHub market for concert and sporting event tickets. The conversion ensures that owners don’t lose money from extra last-minute inventory. 

“We can reach another consumer that maybe isn’t booking through traditional means,” according to Jason Kycek, senior vice president of Casa de Campo Resort & Villas, a resort in the Dominican Republic that’s planning to soon adopt the strategy.

Casa de Ocampo will be partnering with Pinktada, a startup that recently launched a booking system with hotels in the Dominican Republic and Hawaii. The system, which calls itself a replacement for the “outdated model” of securing reservations, lets you buy a room-night token or RNT for a specific room for a specific period of time or set of nights. 

Once you buy the RNT, it’s considered sold and final on the hotel’s side, and the hotel’s revenue is guaranteed, regardless if the room is used or not. As the traveler, once you buy, you won’t be able to cancel or rebook an RNT for a different room or a different dates. But, you can transfer, sell, or swap the RNT based on the live market price up to two days before check in. 

Pinktada claims that it lets “travelers get access to discount prices without the risk of forfeiting their reservation if plans change.” But ultimately this will all depend on how the market will actually look like once it’s in full swing.

The RNT-based service is also planning on rolling out what they’re calling Marketplace, which will allow RNT enthusiasts(??) to buy the tokens in bulk and sell them on the site for the price of individual room nights. Like other forms of NFTs, RNTs will be subject to market price fluctuations. But unlike regular NFTs, RNTs come with an expiry date as a token obviously loses its value as the check in date looms.

What will they think of next?


Information for this briefing was found via the Wall Street Journal and the sources mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Leave a Reply

Video Articles

Endeavour Mining Q1 Earnings: Cash Flow Is King

G Mining Oko West Feasibility: Move Fast, Break.. Nothing?

New Gold Q1 Earnings: What’s Behind The Market’s Surprising Reaction?

Recommended

First Majestic Posts Record Cash Flows In Q1 As Production Costs Fall

Brazil Potash Secures Funding In Support Of US$2.5 Billion Autozales Project

Related News

NFTs Are The New MLMs

The Deep Dive‘s NFT FAQ is a good primer on what Non Fungible Tokens are,...

Tuesday, January 18, 2022, 03:45:00 PM

Elon Musk Reposts Meme Which Sold as an NFT Shortly After for $20K

It appears that everything Elon Musk touches turns to gold— or into a meme suddenly...

Wednesday, October 27, 2021, 11:41:00 AM

NFT Heist: Trader Faces Largest Cybersecurity Breach in History

The burgeoning Non-Fungible Token (NFT) market has been thrust into chaos as NFT Trader, a...

Sunday, December 17, 2023, 09:02:00 AM

NFT’s: Understanding The Purpose For Non-Fungible Tokens – The Daily Dive feat David Yu

Joining us today for the first episode of the trading week, is that of David...

Monday, July 5, 2021, 01:30:00 PM

Graph Blockchain Launches First Publicly Traded NFT Platform

Graph Blockchain (CSE: GBLC) this morning announced the launch of its NFT marketplace and augmented...

Friday, October 15, 2021, 08:04:07 AM