Blockchain rewards platform MiL.k has teamed up with a retail cluster in downtown Seoul, Shinsegae Duty Free to provide loyalty points compatibility and management.
Shinsegae customers can now connect their existing rewards accounts to the MiL.k mobile application. Once users interlink the accounts, they can reportedly trade their Shinsegae loyalty points for the in-house cryptocurrency called MLK.
MLK, in turn, can be exchanged for reward points at other partnering vendors, such as Yanolja, a Korean travel accommodation platform.
The press release added that such partnerships allows MiL.K to increase the utility of loyalty points across the leisure, lifestyle and travel sector, making it a more effective endeavor.
Jayden Jo, the CEO of MiL.k, believes that adding Shinsegae Duty Free to his company’s network will also expose “millions of customers” to blockchain. This will lead to greater adoption across the Asia region.
Samuel Yun, the head of international business at Milk Partners explains on why the startup relies on blockchain in the first place:
“By using blockchain, we can generate mutual credibility between service companies. Since all the transactions are written on ledgers and encrypted on blockchain, service companies don’t have to worry about any data leakage and just leverage from the synergies within the alliance.”
As for transaction fees for trading tokens within the platform are set at 1.5%. Yun argues:
”It wouldn’t hurt our users since the minimum discount rate that the platform offers is 5% for all the reward purchases.”