Coders Used Ham Radio To Send Bitcoin From Canada To San Francisco (coindesk.com) 165
"In what appears to be a first-of-its-kind transaction, two developers working in separate countries have successfully sent a bitcoin lightning payment over radio waves," writes CoinBase.
An anonymous reader quotes their report: The completed payment effectively moved real bitcoin from Toronto, Canada, to San Francisco, California... But sending bitcoin over radio isn't just fun. Some researchers argue it actually has a necessary use case... The idea is that, while the internet can potentially be censored, it's not the only form of technology that can be used to send data from one part of the world to another, "in case China decides to censor bitcoin via the Great Firewall, or places like North Korea where there is no internet at all," as Bloomberg columnist Elaine Ou put it in an email to CoinDesk.
Technology infrastructure startup Blockstream licensed satellites that beam bitcoin to users around the world for similar reasons.
An anonymous reader quotes their report: The completed payment effectively moved real bitcoin from Toronto, Canada, to San Francisco, California... But sending bitcoin over radio isn't just fun. Some researchers argue it actually has a necessary use case... The idea is that, while the internet can potentially be censored, it's not the only form of technology that can be used to send data from one part of the world to another, "in case China decides to censor bitcoin via the Great Firewall, or places like North Korea where there is no internet at all," as Bloomberg columnist Elaine Ou put it in an email to CoinDesk.
Technology infrastructure startup Blockstream licensed satellites that beam bitcoin to users around the world for similar reasons.
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Perfect, now the sneaky tax auditors won't have a clue when I move my money out of the high taxed state of NY! They've been auditing me and have asked for my boarding records for my dog, since I boarded her while I was in Florida for 7 months. They told me I'm still a primary NY resident since I boarded her here in Long Island. What a bunch of crap to steal my money.
Probably because Florida doesn't have state tax. If you had paid taxes there, NY would have given you credit for them, but since you didn't they want that money. (Virginia pulled this on me after my first year of college in Florida and then moving back to VA.)
Also, my future condolences about your pet dying in that Long Island kennel after NYC lays off an inspector or two due to decreased tax revenues because you snuck your money out of state and didn't pay your fair share of taxes.
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Radio waves exist, can be used to send information! May have potential uses, to be determined.
Also, Wi-Fi uses radio waves. So many, if not most, past bitcoin transactions have used radio waves.
Cellphones also relay on radio waves.
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Ham radio has access to 2.4, 3.4, and 5.8-5.9 GHz, as well as many other bands. 2.4 and 5.8-5.9 are overlapping and adjacent to traditional wifi, but 3.4 is exclusive to ham use in the US (and can "recycle" International WISP gear operating on that band).
https://www.arednmesh.org/ [arednmesh.org]
Re:News flash (Score:5, Informative)
US Hams aren't allowed to conduct business with their amateur licenses. They can sell ham gear, but it's not for advertising or other business like activities.
I sending bitcoin via amateur radio actually legal? Probably not. Does exporting money over international boundaries violate US Treasury Dept rules? Maybe.
While an interesting proof-of-concept, there are also RFCs involving data-over-carrier-pigeons, and other slower than electricity methods, like mail.
Nice headline, but otherwise contextually meaningless in international bitcoin transactions.
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I sending bitcoin via amateur radio actually legal? Probably not. Does exporting money over international boundaries violate US Treasury Dept rules? Maybe.
Bitcoin is regulated by the treasury?
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Good question! I have no answer. I doubt they have an answer, either, except that money crossing international boundaries might be of interest to them, usually in the context of money laundering.
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First, thanks for calling me a dumbfuck and a hand-wringer. I'm neither of those. I'm also not a farmer, and a vegetarian, so your cows can do what they like.
My meaningful message is that one ham radio transmission of a bitcoin across international boundaries is neither a test of crypto or especially interesting. No laws will be tested because they're not being tested now, or in that context. Mighty libertarians may rejoice for a moment, because another boundary has been "breached" and how sweet that might
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It's almost as if packet radio has been used by amateurs [wikipedia.org] for about 40 years now....
Another hint for the report writer, the internet is a network of networks. If you use a radio network to transmit and receive information on your computer and your computer is connected to a network which is also part of the internet and uses it to transmit and receive some more inf
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Has been used. I'm a ham, and aside from APRS (Primarily a position-reporting protocol that runs over packet as a L2 transport) there's practically no use of packet radio at all any more. It was completely displaced by the internet. In part because it got left behind technologically - high-speed operation still means 1200bps.
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and aside from APRS (Primarily a position-reporting protocol that runs over packet as a L2 transport) there's practically no use of packet radio at all any more.
Winlink [winlink.org] is in use in a lot of places.
high-speed operation still means 1200bps.
Actually, high-speed packet is 9600, but it cannot be used below 220. Standard packet is 1200.
Moon Bitcoin (Score:3)
Wait until someone does this via moon-bounce. I can see the headline now: "Bitcoin coming from the Moon."
Also since this is Lightning network aka off-blockchain, I'm wondering if the ham transmissions work with transaction disputing (which causes the Lightning transactions up to that point to go on-blockchain).
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moon bitcoin already exists. but probably not the one you expect. link [moonbit.co.in]
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>>Wait until someone does this via moon-bounce. I can see the headline now: "Bitcoin coming from the Moon."
No, no you have that backwards. The correct headline will be "Bitcoin going to the moon".
Data transmission alternatives... (Score:2)
See RFC 1149 or RFC 2549
Let me think this through (Score:4, Insightful)
TFA is experimenting with using radios to transmit information long distances because they fear repressive regimes censoring data passed through the interwebs.
This makes me wonder about why repressive regimes would allow the use of a communications mechanism that can't be censored in the first place.
TFS mentions North Korea, well the magic interwebs have this to say about North Korea Licensing [wikipedia.org] of Ham Radios:
Only North Korea and Yemen do not issue amateur radio licenses to their citizens, although in both cases a limited number of foreign visitors have been permitted to obtain amateur licenses in the past. HamCall.Net lists 19 amateur stations in North Korea assigned in the P5 series, although the specific call signs themselves remain unknown.[6] A Serbian amateur writes that he was "licensed" as P5A, but that he was not allowed to operate on either occasion he was in the country.
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Only North Korea and Yemen do not issue amateur radio licenses to their citizens, although in both cases a limited number of foreign visitors have been permitted to obtain amateur licenses in the past.
Ham radio operators need to be very careful when they're visiting "oppressive" regimes and trying to get those really rare contacts.
Alas, what often happens is that people see their gear -- people being the police, customs, or just ordinary citizens -- and they assume that this person is a spy. The reality is that these people just want to operate in some rarely operated in area, but ... the locals aren't having it, and that's exactly what a spy would say.
The hams may end up with their equipment confiscate
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Not sure if its still true, but at point to have a ham radio license in Saudi Arabia you had to be a member of the royal family.
US State Dept has a list of countries your allowed to handle 3rd party traffic for as well that is kind of interesting:
http://www.arrl.org/third-part... [arrl.org]
Now lets see if they can do it by Carrier Pigeon (Score:1)
Smoke Signal
or Jungle Drums
At least these would be interesting and somewhat novel ways to convey wireless data. It
Wireless digital data is old hat, look at your cell phone, or just about anything else.
Sorry, not legal (Score:4, Informative)
"But sending bitcoin over radio isn’t just fun. Some researchers argue it actually has a necessary use case." Fun it may be, even 'necessary', but sorry, it isn't legal. FCC rules (97.3) forbid using amateur radio for pecuniary interests. Probably illegal in Canada and most other countries too.
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You're right about the US laws, however if this transmission was made from Canada to the US that might avoid the legal issue in the US if the US station never transmitted any encrypted signal or any signal with a pecuniary interest -- receiving is not really limited under part 97, only transmitting.
That said, I have no idea what the laws look like in Canada.
This [blogspot.com] suggests that Canada's laws are a little more lax, but not too much so, so ... maybe?
(Trivia: I'm amused (and not surprised) to see Bruce popping u
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Not sure I agree actually - for instance its perfectly legal to order a pizza over ham radio (say via a phone patch) because the pecuniary interest isn't a ham. Pecuniary interest is basically being paid to operate the radio or radio service - there's a single exception for this - school teachers.
I would say this violates rules against using ciphers over ham radio frequencies to obscure messages though: 97.309.
Re: Sorry, not legal (Score:2)
It seems to me this is not encrypted for the purposes of hiding the message. The message is public. What is encrypted is the verification. Anyone can read the message and know that it sends X BTC from address A to address B.
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Not sure I agree actually - for instance its perfectly legal to order a pizza over ham radio (say via a phone patch) because the pecuniary interest isn't a ham.
The pizza place isn't using ham radio. They're using the phone. Using the phone to order a pizza isn't illegal. The HAM involved doesn't have a pecuniary interest, perhaps.
However, a bitcoin transaction is a monetary exchange -- pure pecuniary interest. You can't get around the law by saying bitcoin isn't money and thus isn't "pecuniary".
Pecuniary interest is basically being paid to operate the radio or radio service
No, it is not just being paid. It is monetary benefit. If you operate a business, say, and you use ham radio to discuss a business operations issue with someone, you're g
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Also illegal per 97.113 as technically blockchain messages are encrypted; which for amateur radio is illegal even if the rule is not exactly well-enforced.
The actual rule includes a bit about "obfuscation of meaning".
The HSMM (High Speed Multi-Media, or mesh-net) people argue that they are not encrypting for obfuscation of meaning, they're doing it for access control. These are the folks who take COTS 2.4GHz wireless hardware and use it under amateur rules. It would be illegal to allow non-licensed folks to access that, so the "encryption" via the WEP or WPA keys is for access control. They "publish" the WEP or WPA keys on a website somewhere so in theory a
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A digital signature is not obscuring the meaning of anything. It does not meet the condition of the prohibition.
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Actually, this is what we need ... (Score:2)
... as a "shadow," Internet.
We need a do-over. The current Internet sucks tater toes.
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The current Internet sucks tater toes.
Is it the "Internet," or the people that use it?
Almost interesting, but actually ilegal (Score:4, Interesting)
That kind of violates 2 legal requirements for amateur radio... The FCC regulations for amateur radio, part 97 specifies amateur (HAM) radio must be Non-commercial & encrypted. Sending money is inherently commercial which is prohibited on amateur frequencies & is pretty clearly a violation. Encryption vs signing arguments could be made, but it's a bit murky at best.
Section 97.113 (4) “messages in codes or ciphers intended to obscure the meaning thereof, except as otherwise provided herein”
Part 97.3 (4):
(4) Amateur service. A radiocommunication service for the purpose of self-training, intercommunication and technical investigations carried out by amateurs, that is, duly authorized persons interested in radio technique solely with a personal aim and without pecuniary interest.
Part 97.113 (3) about explicitly prohibited activities:
(2) Communications for hire or for material compensation, direct or indirect, paid or promised, except as otherwise provided in these rules;
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Yeah it's an interesting question. Reading through their twitter etc. they claim they did actually transmit all keys for decoding their transmissions, and the transaction was "demonstration" and "experimental" rather than an actual commercial transaction (whatever that means). So I suppose they are attempting to follow the *spirit* of the laws as best they can while still conducting the proof-of-concept experiment. Whether the folks at ISEC and FCC would agree or not is another question, but I doubt anyone
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Anyway I think it's a worthwhile experiment,
Exactly what is different about sending bitcoin via a digital radio link compared to sending it by the normal digital internet link?
Amateurs do "internet" via radio every day. They do long-distance digital communications every day. What, precisely, is different about this that makes it "an experiment" of any kind?
Those Rules Have Exceptions (Score:2)
Encryption, on amateur radio, is completely forbidden except for a few times where it’s completely mandatory.
Controlling remote hardware, for one - especially model aircraft! There’s also some compelling arguments to be made about control of remote radios, such as repeaters. In this case, encryption isn’t being used to obscure the content of the message, but to authenticate the message and prevent spoofing.
Participating in a search-and-rescue operation, or any other time you have cause to
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Encryption, on amateur radio, is completely forbidden except for a few times where it's completely mandatory.
There is no time when it is mandatory. It is permitted for obfuscation of meaning under a limited set of circumstances, but mandatory nowhere.
Controlling remote hardware, for one
No, there is no exception for this, with the TWO exceptions for model aircraft and space stations. Simple remote control of other hardware is not exempted. For example, I may not control my repeater remotely using an encrypted signal.
There's also some compelling arguments to be made about control of remote radios, such as repeaters.
You might make such arguments, but the rules don't permit it.
Participating in a search-and-rescue operation, or any other time you have cause to transmit someone's medical records or other PII.
Please cite the relevant FCC Part 97 regulation that permits encryption f
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It’s mandatory when HIPAA, and not pard 97, governs the dissemination of protected health information, and when your radio is your only way to call for a pickup. Though you should only transmit the relevant portions enciphered, of course. And it’d take a special kind of asshole to press charges for HIPAA violations under the circumstances, but I’d rather my ass be covered than not.
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And that rule is explicitly designed to make sure nothing of value can be done with ham radio. It includes bitcoin transfer of course.
The point of ham radio is doing radio for the sake of doing radio. It is not a backend for a telecommunication service, for that, we have the internet and other frequency bands, licensed and not.
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A simple one time pad ... is a code to obscure a message, which is explicitly illegal.
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That would make it harder to get caught, but no less illegal.
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Which would be obscuring the message, which is illegal.
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Proof it's for a conviction, not whether something is illegal. Are you one of Trump's ex-lawyers?
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A simple one time pad is NOT permissible under the rule.
Transmissions on the amateur bands that are NOT readable to ANY listener are NOT permissible.
Any transmission on the amateur bands that is obscured is NOT permissible.
Period. Full stop.
This kind of thinking what leads to "Facebook". "I can TECHNICALLY do it, so I do."
sigh
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Any transmission on the amateur bands that is obscured is NOT permissible. Period. Full stop.
Not quite what the rules are, but sending money via ham radio is so clearly outside the permitted exceptions that it's a close enough approximation.
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direct or indirect
Well that was illegal (Score:2)
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still illegal as all hell, the FCC would kick in doors of people doing this, revoke licenses, levy fines and/or jail time.
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News for you, the FCC does indeed arrest people and have them fined and/or jailed for amateur radio band violations.
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HAM spectrum is licensed too. and people who abuse it do get arrested, with the help of us HAMS. We don't like people using the bands illegally.
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If the law was actually written with the word "encrypted" in it, you might be correct. However, the actual regulation is more general - "unspecified digital codes must not be
transmitted for the purpose of obscur-
ing the meaning of any communica-
tion. "
I'm not sure how obscured that would be considered to be under the circumstances.
Re: Well that was illegal (Score:2)
Bitcoin transactions are public. They are not obscured in any way.
Against Amateur Radio Licence Conditions. (Score:2)
Re: Against Amateur Radio Licence Conditions. (Score:2)
No, you don't. Bitcoin transactions are public. They are not encrypted.
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and each station in the contact must identify themselves at the start and end of the "conversation" and periodically usually every 10-15 minutes.
97.119: "... at the end of each communication, and at least every 10 minutes during a communication, ..." There is no "start of communications" requirement for identification, and no mention of "conversation".
Can't you do it via any data transfer method? (Score:2)
Like writing a wallet address on a piece of paper and sending it in an envelope?
Without independent access to the blockchain however, you can't verify your transaction. You'd have to trust the other party is being honest.
The use-case of being in a country where your internet access is cut off, you need to put your trust in someone else to verify transactions.
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Without independent access to the blockchain however, you can't verify your transaction. You'd have to trust the other party is being honest.
Cryptocurrency simply cannot be transacted offline. At best, you can give someone a wallet, and (as you said) the other party is required to trust that you've accurately represented the value it holds and that you aren't immediately going to drain it into another wallet after conducting your real-world transaction.
Unless you have access to the blockchain network, you have no way of verifying the amount contained in a wallet, and you can't securely transfer coin(s) to someone else's wallet.
Re: Can't you do it via any data transfer method? (Score:2)
That's mostly meaningless meaningless, though. Credit card transactions can't be made offline either. But you can still take a card imprint or write the number on paper and rely on pre-existing trust networks when submitting the transaction later.
Bitcoin is the same, with the significant distinction that the trust networks are primitive and underdeveloped.
That message violated FCC regulations (Score:2)
Before people start getting amateur licenses to transmit blockchain information, please note that doing so almost certainly violates FCC regulations in the U.S.
The FCC is very specific with respect to ham radio: transmissions must not involve "pecuniary interests" for any of the parties involved in the message. That includes parties that may indirectly benefit from the message.
Note the following from http://www.arrl.org/news/fcc-s... [arrl.org]:
Censored network (Score:2)
not on ham radio (Score:1)
This maybe illegal (Score:1)
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quite true, and in a larger sense the government can and does have the right to block/censure/shutdown/license/regulate radio communication just as it does the internet switching and data centers in various scenarios.
It's a Fake (Score:2)
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I thought they were on 20m ? The Bandscope just shows the AF frequency.
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My read of the Lightning protocol spec [github.com] is that the meaning isn't obscured. An LN invoice is authenticated, but it isn't encrypted. I may be misinterpreting this spec, which I just found 5 minutes ago and kind of skimmed, but it makes sense: this is a request for a transaction on a fully public blockchain, so there can't really be anything private there.
I can't tell if they're using testnet bitcoins in this, but that would be one way to avoid any commerce happening for the purposes of this demo. It does kind
Re:It's NOT a Fake (Score:1)
The people mentioned ARE licensed amateur radio operators: Elaine Ou, KM6NCF; Rodolfo Novak, VE3NAK.
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I think they're using JS8Call. cf. this article about prior work in the space [driveinsider.com] and the screenshot [k0pir.us] on the JS8Call software page.
KB3VDK
Censoring with a black bag? (Score:2)
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Go stego if necessary (Score:1)
If you are intent on using this particular medium, then it should be trivial to add steganography to the equation and get past the "no encryption (as far as anyone could prove)" part. There are way to do that, where it would be impossible to prove stego was being used--as long as they don't have access to the software at either end.
Not an effective anti-censorship method, though (Score:2)
Not to mention the fact that while the article pretends that sending Bitcoin via radio somehow removes government's ability to censor you, in order to legally use that spectrum, you need to first obtain a license from same government, which is revocable at any time. This is true in more countries than just the US.
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Duh! (Score:2)
You can also send it with flag signals, smoke signals and torches, it's data!
I should hope that they didn't (Score:2)
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North Korea wouldn't murder you until they get your btc wallet password, as that's how they're getting past economic sanctions at the moment.
Re: Censorship in the hierarchy of concerns (Score:2)
Bitcoin transactions are not encrypted. Coding is permitted as long as it does not obscure the message. Look it up yourself.