U.S. satellite startup Spacecoin announced on Wednesday that it had successfully transmitted secured blockchain data through space, marking what it called an industry first and a potential challenge to Elon Musk’s Starlink.
The company’s goal is to create a decentralized satellite network offering connectivity and data storage for users in regions where internet access is unreliable, censored, or prohibitively expensive, according to its founder Tae Oh.
HOW IT WORKS
Unlike Starlink — where SpaceX maintains full control over its vast satellite constellation — Spacecoin envisions an open, participatory model that allows users, developers, and organizations to contribute to the network and verify transactions.
Its technology uses blockchain encryption to ensure that data sent through satellites cannot be intercepted, altered, or falsified.
During the test, Spacecoin transmitted blockchain data over 7,000 kilometers, from Chile to the Azores, entirely through a satellite link — without relying on terrestrial internet.
The nanosatellite used in the experiment was built by Bulgarian microsatellite manufacturer EnduroSat, and the company said the data returned to Earth intact and verifiable.
“Beyond end users, we are also targeting builders — such as developers, telecom companies, NGOs, and infrastructure partners,” said founder Tae Oh.
“For people using the internet, this means the information or payments they send can’t be faked, changed, or intercepted by bad actors.”
CONTEXT AND FUTURE PLANS
The success of Spacecoin’s test comes amid a boom in satellite internet services as global demand for secure broadband increases.
While J.P. Morgan previously tested blockchain payments between satellites, Spacecoin’s test is the first to bypass terrestrial networks entirely, operating solely in orbit.
Currently, Spacecoin has just one satellite, launched in December 2024 on a SpaceX rocket, and orbits in Low Earth Orbit (LEO) at up to 2,000 km altitude.
The company plans to add three more satellites by the end of 2025 to expand coverage and reliability.
With Starlink’s 8,000-satellite fleet dominating global satellite broadband, Spacecoin’s blockchain-based approach positions it as an innovative but niche challenger, combining crypto technology with space-based communication infrastructure.