In a ploy to avoid losing money from last minute cancellations, hotels are planning on transforming cancelled bookings into NFTs. Dubbed ‘RNTs’ (room-night tokens), the new concept will mean that those who cancel bookings will have to sell their RNT on a marketplace dedicated to selling unused rooms (like StubHub for concert and sporting event tickets), instead of putting a business’s cash flow in jeopardy by asking for a refund or to re-book.
One of the hotels planning to adopt the new strategy is a resort in the Dominican Republic called Casa de Campo Resort & Villas, which has partnered with Pinktada, a new booking system platform which allows users to buy RNTs for a specific room, time period, or set of nights.
According to the platform itself, it is a replacement of the outdated model for securing reservations, as upon a RNT being purchased, the hotel’s revenue is secured and guaranteed, meaning if a customer wishes to cancel or re-book their stay, they can do so through transferring, selling, or swapping their RNT on Pinktada up to two days before check-in.
Pinktada will also be rolling out a marketplace which’ll allow people buy RNTs in bulk, which they can then sell on the platform for the price of individual room nights.
As with any commodity, RNTs will still be subject to market price fluctuations, however unlike many NFTs, they will come with an expiry date which’ll dictate its value as the check-in date looms.