Country for PR: United States
Contributor: PR Newswire New York
Thursday, December 07 2017 - 21:00
Taking Care Of Tourists: EBCoin Aims To Enhance International Shopping
SEOUL, South Korea, Dec. 7, 2017 /PRNewswire-AsiaNet/ --

EBCoin, an international cryptocurrency venture, is launching both a digital 
coin and a currency exchange platform to appeal to tourists. Short for Eximbay 
Coin [ ], this venture focuses specifically on tourists 
traveling between Korea, Japan, and China, but has the potential to enhance 
tourism all over the world.

EBCoin seeks to address the expensive obstacles that tourists currently face 
when shopping abroad. Chief among these is consumption taxes. In theory, 
tourists can recoup the costs of these taxes through refunds, but the 
complexity and high cost of the refund system means that most travelers regain, 
at most,  a fraction of the money they lost. Combined with the cost of 
exchanging currencies, this limits both the number of people who are willing to 
travel in the first place and the amount that those who do travel are willing 
to purchase.

By providing a decentralized platform for claiming tax refunds, EBCoin allows 
tourists to recoup most of the money they lose through consumption taxes. 
Releasing a new coin that can be exchanged for multiple other fiat and digital 
currencies, along with a decentralized exchange platform, further saves 
tourists money by reducing the cost of exchanging their money. These efforts 
should make it substantially easier for Korean, Japanese, Chinese, and other 
citizens to travel and shop across the globe.

Addressing the Limits of Tax Refunds

One of the most important factors that affects how much tourists spend when 
visiting other countries is those countries' taxes. Consumption taxes often 
make up a large portion of national, provincial, and local government budgets. 
This is particularly true in European countries, where such taxes can account 
for upwards of 15 percent of the cost of retail goods. While consumption taxes 
are generally accepted as fair by citizens, who benefit directly from the 
services that they pay for, they are an unqualified loss to tourists. For this 
reason, many countries offer foreign visitors refunds on the consumption taxes 
they pay while in the country.

While refunds have the potential to attract more tourists, in practice, they 
are of limited effectiveness. This is because the system for reimbursement is 
so difficult. To claim a refund, tourists must record their purchase histories 
and present them to customs authorities in airports and other designated 
locations. But because there are only so many of these locations, this tends to 
require waiting in long lines. Combined with the complexity of filling out the 
necessary paperwork and making sure that their refunds are the correct sizes, 
this leads many tourists not to bother to claim tax refunds. As a result, 
roughly USD $24 billion [ ] in refunds 
goes unclaimed.

Even when tourists do claim their refunds, they often do not receive the full 
value that they deserve. The current system for processing refunds is highly 
expensive, consuming as much as 30 percent of the total value of tax 
reimbursements. This makes it less worthwhile for tourists to seek refunds in 
the first place.

In order to simplify refunds and lower administrative fees, EBCoin provides an 
app where tourists can enter all the relevant information on their own. Users 
must scan their passports and enter the information into the app; this confirms 
their identity and their country of citizenship. They can then scan the 
receipts from different items they buy during the trip, creating a reliable 
purchase history that can be used to calculate the total amount of consumption 
taxes they've paid. The platform uses this information to claim the user's 
refund, which it pays to them in its own digital currency.

Because the EBCoin platform is highly decentralized, there are no 
intermediaries who charge fees for processing refunds. There is also no need 
for users to stand in line at airports or go through a complicated process of 
recording and verifying their purchases. More users are thus likely to claim 
their rightful refunds, and in doing so, they will receive close to the total 
value of those refunds. This has the potential to put billions of dollars back 
in the pockets of tourists, giving them an incentive to travel more and make 
more purchases abroad.

Currency Exchange & the Eximbay Coin

Besides allowing users to claim tax refunds, the EBCoin platform is releasing 
its own digital currency. These Eximbay coins (EBC) are backed by the Korean 
payment services firm KRP, which serves more than 6,000 businesses across 
Japan, China, Korea, and other parts of East and Southeast Asia. Many of these 
businesses are likely to begin accepting the coins for purchases, allowing 
tourists to use EBC rather than having to obtain the local currency. The EBCoin 
platform also allows users to exchange the coins for local currency, their home 
countries' money, or other national and digital currencies.

As with refund processing, EBCoin offers a decentralized means of exchanging 
its own and other currencies. This eliminates intermediary fees and other 
currency exchange charges, lowering the cost of traveling and shopping abroad. 
Releasing its own currency also provides EBCoin users a standard against which 
to measure the value of other currencies, making it easier for them to make 
sure they are getting a good deal on exchanges.

EBCoin plans to create 1.5 billion of these coins, exactly half of which will 
be issued to the public through token sales. The platform will release 150 
million of these coins during a pre-sale in December of 2017, and will then 
distribute 375 million during an ICO in January of 2018. The coins will 
initially be pegged at a value of 6,000 EBC for one ETH. This value will likely 
change as the platform grows in popularity and demand for Eximbay coins 


CONTACT: Michael Templeman, 800-273-2113