Blockchain – The New Wing In Airlines And Aviation Blockchain, termed by some as the “central repository of trust” could be the most disruptive and creative technology of all times. It employs a decentralized method of maintaining records, operated on a peer-to-peer network. A protocol is established for the computation and heavy encryption, ensuring the integrity of data without relying on a centralized third party. Airlines have to collect data from multiple parties and have many touch points. They can use the technology to streamline the ticketing services as they have to manage a massive amount of data related to flights, passengers, weather and luggage that they go through on daily basis. Blockchain can be applied to any application where transparency and security are key considerations as the information stored in a blockchain can be tracked at all times by all the participants of the network. Possibility takes flight Singapore Airlines recently announced the rolling out of its blockchain based digital wallet that the passengers can use to spend their frequent flier miles at retail partners with the airline’s KrisFlyer loyalty program. Air New Zealand is using blockchain for its baggage handling, distribution, cargo and loyalty programs. Lufthansa has started an initiative “Blockchain for Aviation” that aims to promote the benefits of the technology among the MRO service providers, airline software developers and regulators. Boeing is examining the use of blockchain for resolving the current aviation cyber security concerns. Delta and many other airlines have rolled out a volunteer bidding process to minimize the cost of overbooking flights.
Here are some of the specific use cases of blockchain in aviation Ticketing: Blockchain technology can be used to tokenize e-tickets, dematerialize them and drastically change the distribution of tickets using smart contracts. Airlines can add business logic, terms and conditions around how the ticket is sold and used. This way, different partners can sell e-tickets in real-time from anywhere in the world. Loyalty: In the traditional loyalty programs, travelers often have to wait until points settle and accrue to use them. They are further limited on where they can use them. By tokenizing loyalty programs on aviation blockchain, travelers can get instant value by redeeming their loyalty points on the spot. Security: Blockchain technology offers a less risky way of managing and sharing the information related to flight, passengers and crew with authorized access requirements. Maintenance: The technology can be used to maintain logs of every part of the plane, where they were sourced from, who handled them and where they are
moving to. This kind of visibility for the parties in the network can push the aviation maintenance and security to a whole new level. Another prominent use of the technology is in the registration of components. The data about the airline component is stored in a distributed ledger. If the component malfunctions then the technical staff can use the information in blockchain to find wherefrom the component was sourced, who installed it and decide about its repair or replacement. Group50, a well-established business consultancy recognized the importance of blockchain in airlines for what it is – a technology that will drive transformational changes in the ways business is done. The consultancy is building a blockchain to cater to specific needs of airlines industry. Visit the company’s official website to know more about its blockchain project and survey.