Encrypted messaging app Signal has started testing a payments feature that allows users to send cryptocurrencies to other users privately.
Signal announced on Tuesday, April 6, that it is integrating support for MobileCoin for a new peer-to-peer payment system in the beta version of its applications.
The new system called Signal Payments was released for beta testing on Android and iOS platforms for UK users only at the current time. Furthermore, it is only compatible with MobileCoin’s MOB cryptocurrency, which has been designed to be used on smartphones.
Signal was mulling over private crypto payments in January, as reported by Cointelegraph. Signal’s head of growth and communication Jun Harada commented on MobileCoin’s privacy features, stating:
“As always, our goal is to keep your data in your hands and not ours; The design of MobileCoin means that Signal does not have access to your balance, complete transaction history, or funds. You can also transfer your funds at any time if you want to switch to another application or service. “
The signal’s creator, Moxie Marlinspike, stated that the new payments feature is an attempt to extend its privacy protections to payments, with the same experience the app has offered for encrypted conversations.
The announcement comes just days after news that the personal details of more than 530 million Facebook users were posted on a hacking forum.
The company chose MobileCoin over other privacy-focused cryptocurrencies such as Monero or Zcash because it is designed for mobile devices, requires little storage space on the device, and offers high-speed transactions.
MobileCoin was launched in 2017, but only began trading in December 2020. Signal has close ties to cryptocurrency, and Marlinspike has served as a paid technical advisor for the project since its inception.
MOB is relatively dark in the world of cryptocurrencies, with no market capitalization on the major coin analysis websites. It can only be traded on the FTX exchange at the time of writing, where the daily volume is around $ 80 million. There is a total supply of 250 million tokens and it has risen in price 14% in the last 24 hours since the announcement, currently trading at $ 66 according to Coingecko.
On March 16, Cointelegraph reported that Signal began accepting cryptocurrency donations across 12 different currencies, as a way to support the Signal Technology Foundation, the non-profit organization behind the app.