SMS OTP Indonesia refers to short message service that contains one-time password for accommodating growing online necessities, including business, in the country. Home to more than 260 million, the SMS OTP is such a breakthrough to simplify transaction and keep it confidential.

Like the similar innovation in other countries, SMS OTP Indonesia consists of some codes from a company to subscriber or consumer candidate. This company usually hires external party, latter called as provider, to create and manage the service.

SMS OTP Indonesia is becoming crucial and bigger as online business is finding way to fundamental segments in the country. Digital payment platforms, such as Gopay from Gojek and OVO that’s in affiliation with Grab, utilize OTP to secure the accounts of their users. Social media, like Facebook and Instagram, also apply the same method.

According to an official statement from CupoNation on 26 June 2019, 120 million Indonesians used Facebook as of June that year, making it the world’s fourth largest Facebook user. Also as of the same period, Indonesia sat as the fourth largest Instagram users. The country saw 56 million of the overall citizens used the platform. 

The codes serve as the final keeper for keeping user accounts safe. The codes will perform the most when hackers know the passwords of the user accounts. As such, privacy and safety become two issues that define the importance and complexity of the provider’s ability for providing OTP to clients.

SMS OTP is relatively new. Token and Google Authenticator precede SMS OTP. Token is a small device that produces authentication codes. SMS OTP is more practical than the two that require people providing special tokens or utilize Google Authenticator.

So, when do we use SMS OTP? As users, we will receive an OTP that comprises of some codes after agreeing for subscription or confirmation. OTP accommodates for various purposes, from banking, digital wallet to e-commerce.

As today’s business is depending more on online transaction, SMS OTP Indonesia providers need to improve the service on confidentiality. Alfons Tunajaya, a cyber security observer from vaksin.com, suggested providers of the SMS OTP formulating freeze period to protect users’ money in digital wallet or e-banking account in case some account transferring occurs.

This will help owners of the accounts reporting them to policemen in case irresponsible other people tried stealing their money. With the freeze period innovation, the transferred money can’t be used during the freeze period. In the meantime, the real account owners can make use of the period for reporting the case.

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