Travel company Travala.com, which embraces cryptocurrencies, is launching a Bitcoin cashback scheme, pointing to BTC’s scarcity as an appealing reward system for its elite customers.
Travala’s new reward program is described in a release made exclusively to Cointelegraph. Users who have unlocked the Smart Diamond tier of the loyalty reward program run by the blockchain platform of the AVA Foundation are eligible to participate.
Travala.com: CEO Juan Otera used the introduction of the new cashback program as an opportunity to highlight Bitcoin’s status as the most well-known cryptocurrency, its limited quantity, and its status as a scary digital asset. Says she.
“Bitcoin is here to stay, and it’s now becoming more appealing to mainstream audiences, thanks to the recent approval of the first spot Bitcoin exchange-traded fund (ETF).”
According to Otera, offering Bitcoin cashback incentives on reservations for travel increases the allure of utilizing cryptocurrencies for everyday transactions. Additionally, Travala attested to the fact that bonuses are credited to members’ accounts twenty-four hours after a journey is finished.
Members will be able to use their Bitcoin prizes however they like. Users can withdraw their Bitcoin to an external wallet, exchange, or platform, or use it to pay for other travel-related products on the platform.
According to Cointelegraph, one of the top three payment options on Travala.com is Bitcoin. Roughly 9% of travel reservations booked on the marketplace are paid using bitcoin. In 2023, travelers paid more than $5 million in Bitcoin for lodging, activities, and flights.
Travala’s BTC cashback program does have some exclusivity, though, as activating Smart Diamond membership requires staking 2,500 AVA tokens and owning a Travel Tiger NFT.
Since there are only 1,000 Travel Tiger NFTs, there will only be a limited number of travelers who can participate in the rewards program. On the Ethereum blockchain, NFTs are utility collectibles that are randomly created. According to OpenSea market data, Travel Tiger’s floor price is set at 2.6 ETH, which is approximately $9,800 at the time of publication.
Additionally, Travala advertises that traditional Web2-based programs may be disrupted by cryptocurrency-based cashback schemes. According to the startup, cashback providers should be able to lower chargeback fraud risks and prices by utilizing Bitcoin instead of standard payment rails.
The CEO of Travala thinks that its BTC and AVA rewards systems could attract new members to the Web3 ecosystem through Bitcoin. Using its native AVA currency, the AVA Foundation is a blockchain-based rewards network that offers payment reductions, gated access advantages, cashback and loyalty rewards.