Peanut Labs, a US technology firm providing research and monetization services for social media and gaming companies, has teamed up with Red Oxygen, an SMS gateways and developer of text messaging software. Under the deal, peanut Labs is set to embed the Red Oxygen technology into its payment services in a bidto eliminate fraud attacks in in-game payment processes.

How it works

When receiving a payment from a customer, Peanut Labs runs every transaction through an engine to measure risk factors, resulting in one of three actions: the payment is accepted, the payment is declined or the transaction is flagged for review.

Any flagged transaction automatically triggers a text message to be sent to the purchaser’s mobile phone, using the Red Oxygen services. Then, the user is required to input a provided PIN number on the website, allowing Peanut Labs to analyze aspects such as user location to determine the legitimacy of the transaction.

The Red Oxygen SMS Gateway technology allows Peanut Labs to send text messages to any mobile device that is text enabled.

Peanut Labs supports a media monetization platform designed to handle virtual currencies and goods in the new digital economy, such as social applications on Facebook, Myspace or Linkedin, as well as games and gaming communities.

Red Oxygen is a global developer and distributor of enterprise SMS software and services.