Here’s How You Can Use Bitcoin to Pay for Travel
When most people think of buying tickets for a flight or making other travel-related purchases, they might reach into their wallet for their credit card. But did you know you might be able to pay with a form of digital cryptocurrency, like Bitcoin?
Bitcoin is a type of digital cryptocurrency that serves the same function as traditional currency, like US dollars. The main difference is that Bitcoin is not tied to any central bank, and is not regulated by a government body, thus offering a degree of anonymity to users.
The process for paying with Bitcoin is very similar to paying with a credit or debit card. If you’re purchasing online, you’ll simply select Bitcoin as your method of payment. You’ll then be redirected to a site like Coinbase, where you’ll follow the instructions to complete payment.
We’ll go through which travel sites accept Bitcoin, best practices when dealing with cryptocurrency, and some pros and cons of using digital currency to help you decide if it’s the right method of payment for you!
Where can you use Bitcoin for travel purchases?
Although Bitcoin has not yet gone back to its 2017 levels (at one point it had increased over 1,800% in value during the year), it has recently been back on the rise. It’s still not as widely accepted at many retailers though, and it had a minor setback recently, with Expedia removing the ability to pay with Bitcoin from its website.
But there are still a number of other places that accept Bitcoin as a form of payment!
Travel agencies
If you’re looking for alternative travel agencies to book flights, hotels, or car rentals, there are several options you’ll have:
- Destinia
- CheapAir
- BTCtrip
- Abitsky
- Berkeley Travel
- Fluege.com
Airlines
You can book tickets directly with a few airlines that accept Bitcoin as payment:
- Bitcoin.Travel – probably one of the more well-known travel sites, you can use your Bitcoin currency to book flights and hotels! It was established in 2011 with the goal of creating the world’s largest and most trusted bitcoin travel site
- eGifter.com – eGifter is an online gift card shop where you can use your bitcoins to purchase gift cards at over 250+ different retailers. This includes gift cards for airlines like Southwest and American Airlines, which you can then redeem for airfare!
- Gyft.com – Gyft is another website that allows you to purchase gift cards with bitcoin. The available options currently include over 200 retailers, including American Airlines, Delta, Hotels.com, and Southwest Airlines!
- Far Eastern Air – This airline used to be the most used airline in Taiwan, and recently confirmed they will now accept Bitcoin as payment for over 20,000 of its flights
- airBaltic – Considered by many to be one of the most innovative airlines, it’s no surprise that they were one of the first airlines to accept Bitcoin as payment for tickets to over 60 destinations in Europe, Russia, and the Middle East
- FlyPeach – This is Japan’s first airline to accept payment in Bitcoin. The airline is based out of Kansai International Airport in Osaka, and offers many flights in the North Asia region
Buses
- eTravelSmart – If you’re looking to buy bus tickets for travel in India, this could be your ticket (no pun intended)! With just a few clicks, you’ll be able to purchase tickets using this online bus ticket booking portal for over 80,000+ bus routes. eTravelBus takes bitcoin payment using the Unocoin payment gateway, which is the equivalent of Coinbase in the US
Hotels
- 9flats – This is a great option for those looking to book vacation rentals, apartments, or guest houses, and want to stick with Bitcoin
Airports
- Denver International – If you’re in the Denver area and need to pay for parking at Top Airport Parking, you’ll be happy to know they also accept Bitcoin as a method of payment, in addition to other types of payment like cash and credit cards
- Brisbane International – The world’s first crypto-friendly airport! Travelers to this airport are able to use Bitcoin at various merchants
Tourism spots
- Caribbean Tourism Organization – There are plans to introduce cryptocurrency payments for tourism services in this region. The organization is partnering with a local company to implement crypto-based merchant application in this industry
What are some best practices for paying with Bitcoin?
With the run that Bitcoin had in increase in value last year, reaching a value of as much as over $17,000+ for 1 Bitcoin, you might have a lot of questions about how you can invest and pay using this cryptocurrency! So here are a few tips to keep in mind!
Load Error
Many major banks no longer allow you to purchase cryptocurrencies with their credit cards, but fortunately there are still plenty of other options. You can still use debit cards, regular ACH transfers, and peer to peer platforms such as PayPal to purchase Bitcoin. Each has their own pros and cons in terms of how quickly the transfer can be made, size of the transfer/purchase, and any applicable fees.
You’ll also want to ask yourself what your investment goals are. For instance, are you looking to hold Bitcoin as a long-term investment, or are you looking for short-term gains?
With something as volatile as Bitcoin, which could fluctuate wildly in value, you won’t want to invest anything you can’t afford to lose. Regardless of the amount of hype, there’s never any guarantee of a positive return on this, or any investment. Along these same lines, borrowing money to invest in Bitcoin could spell disaster for you, because not only is there no guaranteed return, you could actually end up losing money this way and still have to pay back the monies you originally borrowed.
You’ll also need to do your research and choose trusted wallets to store your cryptocurrency. These wallets come in different hardware and software forms, such as apps on your phone, software on your computer, online storage, and physical hardware devices, similar to a USB thumb drive. Make sure the company you’ll be storing your valuable Bitcoin with is reputable, and not something that will disappear overnight.
The same advice applies for when you are paying with Bitcoin and paying through a travel portal, for instance. Doing a quick online search to see if a website is legitimate may save you a lot of headache in the future. If you’re able to find a good number of positive reviews from others, then chances are it’s legitimate. But if you’re not able to find any information on the website, then you should proceed with caution!
Bitcoin vs other payment methods for travel
Bitcoin has some pros and cons compared to more traditional methods of payment, like credit cards. Let’s take a look at some of the differences and when it’s more advantageous to pay with Bitcoin:
| Bitcoin | Credit Card |
|---|---|
| No hassles with currency conversion or foreign transaction fees | Some credit cards charge a foreign transaction fee of a few percent per transaction |
| Less prone to identity theft as transactions do not require personal information | Personal information is more prone to being stolen from a merchant |
| More versatile as it does not need to be stored in your wallet | Physical card in wallet is more prone to theft |
| Cannot adversely affect your credit score | Making large purchases could potentially affect your credit score |
| Account cannot be frozen | Credit card could be frozen or cancelled by card issuer |
| No rewards | Rewards for every day purchases, which can be redeemed for future travel |
| No fraud protection in the event Bitcoin funds are stolen | Higher level of fraud protection. Most companies offer $0 liability for unauthorized charges |
| Not as widely accepted and may be difficult to find merchants accepting Bitcoin as payment | Accepted at virtually all merchants |
| No special travel-related perks for paying with Bitcoin | Perks and travel benefits such as priority boarding, lounge access, free checked bags, trip delay insurance, and more for many premium travel credit cards |
Bottom line: Is it worth it to pay for travel with Bitcoin?
So which payment method is better, Bitcoin or credit cards?
Credit cards are more widely accepted and offer a number of perks like fraud protection, rewards, trip delay insurance, and more which are offered on some of the best travel credit cards.
On the other hand, Bitcoin could offer a higher level of safety and security because transactions are not made with your personal information, rather, with an anonymous alphanumeric address. Bitcoin is also less prone to theft because it does not have to be stored in your wallet. And you don’t have to worry about foreign transaction fees or currency conversions as you might have to with credit cards.
Ultimately, each method of payment has its own pros and cons, and the decision of whether it’s better to pay with Bitcoin or credit card will depend on your specific travel plans.
What are your experiences with paying with Bitcoin? We’d love to hear your stories in the comments below!
Chase Sapphire Preferred® Card
Annual fee
$95
Welcome offer
Earn 80,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That’s $1,000 when you redeem through Chase Ultimate Rewards®. Plus earn up to $50 in statement credits towards grocery store purchases within your first year of account opening.
Why we like it
The Chase Sapphire Preferred is one of our top credit cards for both beginners and frequent travelers. It comes with a huge welcome bonus, solid ongoing points earning on bonus categories and some great travel perks. The travel perks like delayed baggage and flight insurance will easily cover the already reasonable annual fee of $95. It earns valuable Chase Ultimate Rewards points which is one of the best flexible points currencies: you can transfer to a number of travel partners like Hyatt and United, easily redeem for any type of travel through the Chase portal where you’ll get 25% bonus or even earn straight cash back.
Who is it best for?
The Chase Sapphire Preferred is great for just about anyone. It’s large welcome bonus makes it easy to get immediate value and you’ll easily rack up points with its broad bonus categories, earning double points on all travel and dining purchases. Chase points allow for easy redemptions made through the Chase Travel Portal, which allows you to book any sort of travel with no blackout dates, and you’ll get better value from your points compared to other bank’s travel portals.
Credit Score Recommended
Credit ranges are a variation of FICO® Score 8, one of many types of credit scores lenders may use when considering your credit card application.
Good to Excellent
660
850
Details
- Earn 80,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That’s $1,000 when you redeem through Chase Ultimate Rewards®. Plus earn up to $50 in statement credits towards grocery store purchases within your first year of account opening.
- Earn 2X points on dining including eligible delivery services, takeout and dining out and travel. Plus, earn 1 point per dollar spent on all other purchases.
- Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 80,000 points are worth $1,000 toward travel.
- With Pay Yourself Back℠, your points are worth 25% more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories.
- Get unlimited deliveries with a $0 delivery fee and reduced service fees on eligible orders over $12 for a minimum of one year with DashPass, DoorDash’s subscription service. Activate by 12/31/21.
- Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
- Get up to $60 back on an eligible Peloton Digital or All-Access Membership through 12/31/2021, and get full access to their workout library through the Peloton app, including cardio, running, strength, yoga, and more. Take classes using a phone, tablet, or TV. No fitness equipment is required.
Pros
- Valuable sign up bonus
- Flexible points
- Unique transfer partners like Hyatt and United
- Great travel and trip delay insurance
Cons
- $95 annual fee
- Ongoing points earning is lower compared to other cards
Reward Rate
- 2X points on dining at restaurants including eligible delivery services, takeout and dining out and travel.
- 1 point per dollar spent on all other purchases.
APR
15.99%-22.99% Variable
Credit Needed
Goodto Excellent
Foreign Transaction Fee
$0
Show more
Source: Read Full Article
