when issuing a transaction a bitcoin client could either specify a recipient bitcoin address or an IP address

This statement was in "two bit coins at the price of one" paper, and I am really confused, can I communicate in bitcoins using IP addresses?


In currently used Bitcoin software (bitcoin-qt 0.8), you cannot specify a recipient IP address, only Bitcoin address.

Sending to an IP address (by contacting specified address and requesting a public key to send to) was possible in past versions, and some form of it might be reinstated in future versions.

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