Bitcoin Forum

Im just amazed with this news that an exchange on Venezuela can now send crypto without internet and only via sms text messages. To be honest this is a major step up but of course we cant deny that risk is associated with this method.


With this innovation, Im thinking it still has risk for users though this advancement is truly revolutionized in the blockchain. For example cases like these:

• Mobile got stolen by someone who knows its working on their country
• SMS is probably vulnerable somehow, what if hackers can bypass the system of sending message through another reciepient?
• With the system, probably blockchain isnt gonna move faster than using traditional address to address as it uses an encrypted text messages and might got some error.

Anyways, lets just think of it as starter and those flaws might be solved with additional security protocol in the future.

Source:

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https://www.cryptopolitan.com/send-crypto-without-internet

firstly I have never heard of this exchange "Criptolago" secondly what I think is how does bitcoin work without an internet connection? because in the article it's still not explained how it works.

https://temtum.com/press/worlds-first-decentralized-sms-payments-launched-by-temtum

Look at temtum - they made the news a lot in their first decentralized sms payment network

is it any wonder they are the choice of national currencies when they have this tech


https://fintoism.com/press-releases/temtum-launches-worlds-first-decentralized-text-message-payments/


Video of it in action too:

https://www.reddit.com/r/Temtum/comments/e6g6bv/sms_transfer_in_action/

The article sited in the OP was poorly written. You can try this one (https://decrypt.co/25225/venezuelans-have-new-way-send-crypto-without-internet) instead. What happens is that they have to create an account there first before they can use the service. Once an account is created, you can now send crypto via SMS to other Criptolago users.

You send crypto via SMS > Criptolago receives the request > Criptolago sends crypto to the intended beneficiary

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FYI, Dash has been allowing Venezuelans to send thru SMS since 2018 according to that same article I shared. They call it  Dash Text (https://dashtext.io/).

This is how it works:

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Here are other platforms that allows sending crypto via SMS (not particularly in Venezuela):

• https://coinapult.com/
• https://cointext.io/en/
• https://www.lite.im/
• https://crypterium.com/

Yeah, this is nothing new and already many apps are providing this service, even you can send crypto just like you make payments via paypal to any email address, phone number or account id, different apps are working on different options that will definitely help towards adoption.

Ok, that's getting interesting for everyone if we can receive top all currencies by SMS. This won't be a problem if you phone got stolen by someone, because your number was verified by your information. You will get back your number without lost anything. For any Call and SMS when our top countries are using several apps even for low cost, why we will use SMS to send currency. Most of the place is full of connection in top countries then rest of the country will do same.

I have never used such service but-
1. Mobile can be stolen but it's obvious that you will have PIN code or something secure which no one will know.
2. It's possible. Exchanges are getting hacked too however, since it will be through sms, it's easy to trace the other party. There's nothing happening in blockchain, so reverse is possible.
3. I'm confused what you meant. If this service get huge success, on chain transactions may decreased.

Are you also ascertaining that it is genuine and you agree to that fact that it could be good and that one cannot get scammed through it?
My first reservation about this is that I have never heard of the name of the exchnage mentioned by the OP. Well, I do not know if others know about it and can trust it.

My concern is that blockchain technology is meant to foster transparency. With the use of SMS to transact crypto, I see no transparency in it. Also, how do you know if your transaction has reached the intended destination?

The use of this method only makes things to be more centralized because someone somewhere will have to be in control of the actual funds on the blockchain, while the users are just busy sending mere SMS.

Except the government of Venezuela is just working towards the use of blockchain and somehow centralizing the system.

It is not new the cryptos can be send even without the internet connection.

I found an article from 2018, How can you send bitcoin without internet connection? (https://captainaltcoin.com/how-can-you-send-bitcoin-without-internet-connection/)

But I feel there will be more vulnerabilities when we install an app to send transactions without internet.

This could be convenient for users, however, this puts users to greater risk since sending crypto is as easy as sending SMS. Mobile phones can be stolen and lost. In our country, I have tried to make a duplicate of my phone number from the service provider and it is easy to declare that you are the owner by presenting an affidavit of loss.

This is a new and exciting breakthrough, but on the other hand we all know that using only a mobile number will be very easy for hackers to find out and take the funds we have. You just imagine, sometimes Blokchain technology can be hacked, especially just by using cellphone numbers

Sending coins via SMS is not new, Bitcoin can do that already.

Anyway, it's useless technology IMO because we don't use SMS anymore. Instead of doing that kind of hobby experiment, it would be better to develop scalability, features, and useful apps on top of cryptocurrency.

You can't send crypto outside the blockchain, it just that the process of sending crypto on SMS is only on the criptolago exchange, where there's no on-chain transaction, you can send and receive crypto if you're registered on the platform and your mobile number is a requirement and connected to the account.

Every government of any country that will "adopt" cryptocurrency will probably do the same, especially china, for centralization.

Blockchain cannot be hacked, phone devices do.

Yes its genuine - we are not OP and do not use an exchange - this is a transaction to transaction through the TEM blockchain - you do not need to trust anyone as it is clear as every single transaction goes through the blockchain which you can verify and check the block explorer

the public key is linked to a phone number - pretty simple - its just like a regular transaction except it is sent over the sms system

Temtum is working with Anguilla and african countries with this tech as they roll out their national currencies

Take a look at africa and poorer countries - the majority of money transfers is done over mobile services such as sms rather than internet

It's not new actually,we have that kind of process here in my country, but that's not really a reliable way of sending cryptos, it is a bit risky.

I think the purpose is not something special other than giving the privilege of sending crypto easily without the interfere of Internet and the so called complexity of crypto although it is not complex at all. However, for some group of people it will be good since they do jot want to use crypto directly. With this method, people can easily send/receive money.

I don't know how the company does to secure transactions and confirmations from SMS messages but it sounds not much different from bank transactions. With bank transactions, we know there are risks on confirmations from SMS messages. Risks depend on users as always. If you get trapped and give other access to your codes, you will lose your fund.

It is the same for making transactions from wallets if we lose private keys / mnemonic seeds. Anyway, if people don't have other choices, it looks the best (for now) to use. In contrast, if I have connections to internet, and my wallets, I will never use such stuffs that depends on third-party companies. If exchanges can make scam exits, companies provide such service can do scam exit too. Be careful.

This new way of sending crypto with message will definitely comes with lots of flaws, scammers will get their jobs done more easier, anyways, let's wait and see how things go

This is awesome. This will be helpful in times like this. But the cons here is the hacker will easily track and made transactions. Let's see. I hope it will have more security. BTW, regarding security you may check ADN coin (https://tokenncoin.com/cryptocurrencies/aladdin), best security platform.

That's true I have read about the article of this before and they uses text messagr to send or to transfer bitcoin ti one another, it woukd be possible because it works something like this. If you ate going to send btc then you use SMS for that the network will be responsivle to send your bitcoin the the receiver, it is something like you store your bitcoin on the network and then they will try to send it to the receiver.

It is so great that cryptocurrency are still evolving, there are so many things evolved in terms of cryptocurrency, just like this one, way of sending your assets. It seems like cryptocurrency is now being prominent arount the world.

Hoping that this way of sending will be applied on rour country especially on those countries that is lacked of he internet.

When I look at your account, I know that you are trying to promote it. I know Temtum is a good project, but for now they still cannot become the leading altcoins in this market. They need to work harder and need to be listed at more exchanges so that investors can pay attention to this project. From there they can become one of the major projects in this market

Make sense... however, SMS is an obsolete method of communication, and sooner or later, all people will migrate to the internet, just like a landline, telegraph, fax, etc.

I understand if they want to acquire African users with SMS. Still, it might not be worth the effort if you spent resources developing on top of a sinking technology since it has a limited lifetime.

I dont know how safe to use that method but good thing that Venezuela is now using that kind of method of sending crypto through SMS. But I won't agree without the internet, probably in the end, they will need the internet to run nodes in every transaction. Maybe that is a temporary or as a sign of notification.

Anyway, this thread is similar to this discussion. Sending Bitcoin through SMS/Text Messaging? (https://bitcointalk.org/index.php?topic=5227566.0)

Even you aren't in Venezuela you can use these companies who had been active sending Bitcoin through SMS.

• Samourai Wallet’s PonyDirect
• Cointext
• Coinapult
• Blockchain

Source (https://bitcoinexchangeguide.com/cryptocurrency-sms-payments/)

Hmmm i think if this method apply to whole country in the world there will be an issues. For me its to risky doing transaction based on SMS we already have a great technology why still using old one. We already have an app its way more easier.

I think everything needs internet now, it's the simplest way to connect with each other and make blockchain work. Without the internet, I think the blockchain network will not be able to run and we will not be able to make transactions

I think this is still not applicable as this is highly risky and people will never trust you as the internet is the source of sharing any type of file/news/image/currencies at the moment.

It is a good progress of sending crypto via sms message I did not try it and Im wonder that even a crypto user cannot use the internet they send the bitcoin to the other user . I don't know if it's harm because possible to ger hack but I hope no get hack by this new method of  Sending bitcoin. I wonder soon there is many method to create for sending crypto also.

In my own opinion, it is really great that you don't need the use of internet connection for you to transfer cryptocurrency to other people through sms because it can be convenient for people who don't have any internet connection at their homes and more people will have an opportunity to use bitcoin because they can now transfer it even without any internet . I think it is convenient and safe for people in Venezuela to use this kind of innovation in their country because it will be difficult for hackers to trace this kind of transaction

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By the way, i also saw a similar thread to this discussion in the Bitcoin Discussion Thread: Offline cryptocurrency transfer? (https://bitcointalk.org/index.php?topic=5239655.0)

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As it is only launched in Venezuela on text message transaction system, it should be further investigated future. But i think it is not fully risk free. We know there are many frauds in mobile banking system in our country. So to be honest, we can't say it as a good method until it is to be tested in most of the countries.

Wow, it is amazing . I just heard about this application ... This innovation will attract more user to use cryptocurrencies.
So, in the further Beside using internet, cryptocurrencies can send by SMS.

This method of sending crypto through sms is already tested however every system has backdoors and supposed to be abused by hackers. So, it is up to the users. If we look sending bitcoin through address, it is also risky because there are copy paste malware who can change your btc address.

It's good this exchange is implementing this technology in a country that was faced with electricity problems with the waves of her political unrest. I have read before now that such technology was been used by a petricular wallet.

It's too risky for me personally. I have tried that in some crypto platform services although if all were working perfectly but it's better to do another way with a better security verification. We know that there are so many scammers these days and that will make us can send our money safely.

Really interesting how they trying to solve their problem which might be the lack of internet connection in the country side though I'm highly doubtful about whether the coin is decentralized but at this point it might be a necessary sacrifice considering when cryptocurrency is not accessible in the first place decentralization will become meaningless. However, there are also some service that allows senidng crypto using whatsapp for those with internet connection.

Temtum's SMS system can be used in any country !

Internet networks are everywhere, SMS seems to be getting abandoned, except for certain circumstances. People nowadays prefer to fill internet packages, right?
This service might be effective for emergencies such as when you run out of internet packages or are in a remote area that does not have internet access. But you have to understand how it works, especially if this service involves a third party, right? then what's the difference with atm and e-money? so make sure you really use a useful service.

Have a look at the Temtum network - its a decentralized SMS payment system - very interesting and effective in africa where SMS is still king and will be for the next 10-15 years at least

These are risk involved when your using a third party to transact, it might be helpful for the less privileged countries where the internet connection is not that great, but the problem still is what happens these third party sites undergo a major hack and the investors are not able to get their investment back, i like these options as it is not new as companies like coinbase already tried that but if you understand the risk involved you will not venture further.

How about when you use a cryptocurrency as it was meant to be used - a currency ! - the fact people only see crypto as a investment is the real reason adoption is still a far way away

Using short message service for the transaction will make people aware for the result.  By using this,  people should more careful because it can be hack by wrong people. If we insist to use it,  we must be brave to take the risk.

I think in some countries it is done via sms. But of course that's not advisable and it is really risky for the security of the transaction.