Pablo Castillo: Aviation is the Most Obvious Sector to Innovate with Blockchain

Pablo Castillo, the CTO of Chain4travel, a blockchain-based travel firm, believes that the aviation sector is the most suitable area for blockchain innovation due to its outdated technological infrastructure and lack of standardized data. According to Castillo, blockchain can reduce fragmentation in the travel industry and enable seamless operations. He also argues that the travel industry needs its own layer 1 blockchain because existing blockchains have fluctuating fees that can be financially detrimental during high booking periods. Castillo highlights the seasonal nature of the travel industry as a reason for an industry-specific blockchain. Additionally, he discusses how blockchain can improve security and data privacy in the industry.

Major Challenges in the Travel Industry

The travel industry consists of various sectors such as airlines, airports, car rentals, hospitality, and more. The aviation sector, in particular, faces challenges such as outdated technology and long payment settlement periods. Blockchain can address these issues by providing standardized data and improving payment processes. For example, blockchain-based loyalty programs can simplify rewards for travelers and authentication for providers.

The Need for an Industry-Specific Layer-1 Chain

While there are existing layer-1 blockchains that can be used by the travel industry, an industry-specific chain like Camino Network offers advantages. The seasonal nature of the travel industry means that booking periods generate different amounts of traffic, which can result in fluctuating gas fees on generic blockchains. Camino Network has its own fixed gas fee structure that ensures stability and predictability in transaction costs. Validators on Camino Network are travel-related businesses that go through a Know Your Business (KYB) process to ensure trust and facilitate partnerships among consortium members.

Reducing Friction in the Travel Industry with Blockchain

The travel industry is highly fragmented, leading to friction in operations and user experiences. Blockchain technology can reduce fragmentation by providing global data standards and shared connectivity. By using blockchain, different verticals in the travel industry, such as airlines, accommodations, and transport, can interconnect seamlessly. This eliminates the need for multiple APIs and improves the overall user experience.

Verifying B2B Participants on Camino Network

Given the importance of data safety in the travel industry, B2B participants on Camino Network undergo verification processes to ensure user data protection. Know Your Customer (KYC) and Know Your Business (KYB) verifications are conducted by third-party providers before participants can deploy or interact with smart contracts. Interacting with smart contracts may not require verification, but individual contracts can integrate verification mechanisms if desired by partners.

Blockchain Technology for Data Privacy in Travel

Blockchain technology can help keep user data safe and private in the travel industry. Camino Network is building a decentralized, encrypted travel messenger to enhance security. By leveraging blockchain’s transparency and immutability, sensitive traveler information can be protected from data breaches and unauthorized access.

Hot Take: Blockchain Innovation in Aviation Can Revolutionize the Travel Industry

Pablo Castillo’s insights highlight the potential of blockchain technology to transform the aviation sector and address long-standing challenges in the travel industry. By leveraging blockchain’s agnostic nature, standardized data, and seamless operations can be achieved, reducing friction among various stakeholders. An industry-specific layer-1 blockchain like Camino Network offers stability and predictability in transaction costs during high booking periods. Moreover, blockchain’s ability to enhance data privacy and security can mitigate risks associated with sensitive traveler information. As the travel industry embraces digital innovation, blockchain has the potential to revolutionize the way we travel, making it more efficient, secure, and user-friendly.