While recently traveling through Europe (Italy, Germany, & Prague) I couldn’t help but see the potential for digital currencies in the tourism space. Yes, exchanging money has become significantly easier in recent times and downright unnecessary some places if you can get away with using a credit card for everything. Nonetheless, money exchange comes at a cost to the consumer and offers up a prime candidate for decentralization.
So let’s put ourselves in a world where digital currencies, more specifically bitcoin, is the trusted currency for travelers everywhere. What are the benefits?
- No foreign transaction fees (think when you use a credit card abroad)
- No need to exchange fiat currencies for foreign country equivalents at a cost
- Less risk of identity theft due to not needing to utilize ATM’s or credit cards
- Near instantly receive money from home if you run into a bind. No wire transfer delays
- Possible lower prices at merchants who give bitcoin discounts
- A uniform travel currency that allows nations to maintain their fiat money supply but encourages tourism
Something else to think about is that China is just starting to open up as a significant driver of travel demand in the world. Previously the Chinese basically weren’t allowed to travel outside their borders but with a burgeoning middle class developing these people will want to travel…and the government will let them do so. And they will need money to do so, therefore bitcoin would be a logical choice. After all, the Far East region of the globe leads the world in terms of digital currency exchange volume & demand. These potential tourists have bitcoin and are looking for ways to spend it.
In conclusion, the adoption of bitcoin as a worldwide travel currency would facilitate efficiencies and open up more opportunities for people to jet set the globe. Bitcoin has no borders and nor should its proponents. Its time to embrace a world where the headaches of foreign currency exchange are a thing of the past.