Are loyalty points the same as cryptocurrency?

Although loyalty points have some attributes in common with cryptocurrency, it doesn’t mean they are the same. One of the biggest differences between crypto and loyalty points is centralization. Because cryptocurrency and crypto wallets are decentralized, the value of those tokens can fluctuate with market demand.

Can cryptocurrency be used as a loyalty reward?

Even airlines are experimenting with cryptocurrency as a loyalty reward. When Northern Pacific Airlines launches, the carrier will reward frequent flyers with its flyCoin token. The airline guarantees the value of the coin will never drop below 2 cents per coin.

Should digital asset Startups use loyalty points?

Digital asset startups are reportedly turning to loyalty points programs as a means to attract and retain users. While the points programs have garnered attention and investment, there are concerns about their lack of transparency and potential regulatory risks, Bloomberg reported Thursday (Feb. 8).