BTC.com, a Bitmain Technologies owned bitcoin wallet application has enabled a new feature that allows users to send bitcoin directly to anyone in their phone’s contacts list, without first having to ask them for their bitcoin address.
Since the BTC.com wallet is an HD wallet where addresses automatically change with each transaction, it was possible to add this feature.
BTC.com notes that phone numbers are encrypted before they are stored on the BTC.com servers so BTC.com never knows a user’s phone number, or who their contacts are. Rather, through encryption, BTC.com is able to match wallets, create new addresses for each through the HD feature, and complete any given transaction.
- First, there is no possibility for human error that might occur when manually copying and pasting bitcoin addresses.
- There is also no possibility for “man-in-the-middle” attacks — that is, malware changing addresses and stealing your bitcoin.
- On a simpler level, sending bitcoin from contacts saves the step of having to ask for an address. Instead, select a contact, click send, an address is created, and the bitcoin is sent.