- Circle and HKT are exploring blockchain to transform loyalty programs with real-time rewards and enhanced customer engagement.
- The collaboration focuses on integrating smart contracts to simplify loyalty management for merchants in Hong Kong.
Partners with Hong Kong Telecom (HKT) to explore a blockchain-based customer loyalty solution, USDC stablecoin issuer Circle has made a major step forward.
Sealed under a memorandum of understanding (MoU), this partnership seeks to inspire creative interaction between Hong Kong’s retailers and their consumers. With its Web3 technological knowledge, Circle aims to provide a more dynamic and interactive loyalty system for consumers.
Blockchain Integration Simplifies and Enhances Customer Loyalty Programs
The partnership coincides with a period of time when conventional loyalty programs are confronted with several difficulties, including expensive operating expenses and ineffective redemption procedures.
From loyalty programs, consumers want quicker and more customized experiences; blockchain technology could offer the transparency and real-time capability required to satisfy these needs.
By means of safe, simplified integration of smart contracts into loyalty programs enabled by Circle’s programmable wallets and blockchain infrastructure, incentives may be tracked, managed, and redeemed with more simplicity.
Apart from improving the customer experience, this change is likely to help stores by reducing the expenses related to running intricate reward programs.
Since many companies now view loyalty programs as a strategic investment, upgrading clearly becomes important. Using blockchain, Circle and HKT want to address typical problems with conventional loyalty schemes.
For example, while smart contracts guarantee that transactions are open and safe, blockchain’s distributed character helps to eradicate delays in reward processing.
On the other hand, CNF previously revealed that USDC has been integrated into the real-time payment systems PIX in Brazil and SPEI in Mexico.
This integration enables firms in these countries to access USDC directly through local financial institutions, considerably speeding up transactions and minimizing the need for international wire transfers.
