Wipro Announces a Cryptocurrency Refund System for Airlines
A press release posted on the Bombay Stock Exchange by Wipro Limited announced that Wipro had developed a blockchain-based payment solution for the Irish digital payments solution company Travacoin to aid airlines with the refund and compensation process in cases of events such as flight cancellation.
Cutting Cost by 40 Percent for Airlines
The India IT major Wipro was recently in the news surrounding blockchain and cryptocurrency due to its DLT solution for the financial services industry. The latest update released by Wipro entails the creation of a digital payments system to disrupt payment methods in the airline industry.
The new system will be deployed by Travacoin, a digital payment solutions company, to help airlines refund customer money in the form of digital currencies. Customers could then use the received cryptocurrencies for any travel-related services, including repurchasing flight tickets and booking hotels.
A study by FTI Consulting shows that the new refund system can save airlines as much as 40 percent of what they spend to pay customers in cash. For the customers, a crypto refund system refers to shorter waiting times and discount offers on using Travacoin to purchase from retail partners.
Krishnakumar Menon, Vice President for Service Transformation and Blockchain Theme Leader at Wipro Limited, said that these measures indicate Wipro’s active efforts to work with companies that are using blockchain as a solution for real-world business problems.
According to Brian Whelan, CEO of Travacoin, irrespective of the reasons for the delay or cancellation of flights, many customers want instant refunds. Most airlines act defensively in these situations. Travacoin’s solution, he said, “offers airlines a cost-effective way to reconnect with their passengers in a positive way, turning adversity into opportunity.”
Wipro’s Project Inthanon
Earlier this May, BTCManager reported on the collaboration of Wipro with R3 to build an interbank digital coin settlement system over R3’s Corda, an enterprise-focused blockchain creation platform. It focuses on helping banks with real-time gross settlement using wholesale Central Bank Digital Currencies.