diff --git a/lib/core/failure.dart b/lib/core/failure.dart
new file mode 100644
index 000000000..312f911bd
--- /dev/null
+++ b/lib/core/failure.dart
@@ -0,0 +1,28 @@
+import 'package:cake_wallet/generated/i18n.dart';
+
+abstract class Failure {
+  const Failure(this.errorMessage);
+
+  final String errorMessage;
+}
+
+class ServerFailure extends Failure {
+  ServerFailure(int statusCode, {String error}) : super(_formatErrorMessage(statusCode, error));
+
+  static String _formatErrorMessage(int statusCode, String error) {
+    switch (statusCode) {
+      case 401:
+        return S.current.unauthorized;
+      case 404:
+        return S.current.page_not_found;
+      case 500:
+        return S.current.server_failure;
+      default:
+        return error ?? S.current.something_went_wrong;
+    }
+  }
+}
+
+class UnknownFailure extends Failure {
+  UnknownFailure({String errorMessage}) : super(errorMessage ?? S.current.something_went_wrong);
+}
diff --git a/lib/di.dart b/lib/di.dart
index bf15ceb8c..6308e7ef9 100644
--- a/lib/di.dart
+++ b/lib/di.dart
@@ -674,7 +674,7 @@ Future setup(
     return AddBalancePage(addBalanceViewModel: getIt.get<AddBalanceViewModel>());
   });
 
-  getIt.registerFactory(() {
+  getIt.registerLazySingleton(() {
     return CakePhoneAuthViewModel(getIt.get<CakePhoneProvider>(), getIt.get<FlutterSecureStorage>());
   });
 
diff --git a/lib/providers/cake_phone_provider.dart b/lib/providers/cake_phone_provider.dart
index 0502dc374..2480929f8 100644
--- a/lib/providers/cake_phone_provider.dart
+++ b/lib/providers/cake_phone_provider.dart
@@ -1,12 +1,14 @@
 import 'dart:convert';
 
+import 'package:cake_wallet/core/failure.dart';
+import 'package:dartz/dartz.dart';
 import 'package:flutter/material.dart';
 import 'package:http/http.dart' as http;
 
 class CakePhoneProvider {
   final _baseUrl = 'cake-phone.cakewallet.com';
 
-  Future<bool> authenticate(String email) async {
+  Future<Either<Failure, bool>> authenticate(String email) async {
     try {
       final headers = {'Content-Type': 'application/json'};
       final body = <String, String>{"email": email};
@@ -16,17 +18,20 @@ class CakePhoneProvider {
 
       if (response.statusCode != 200) {
         debugPrint(response.body);
-        return false;
+        return Left(ServerFailure(response.statusCode, error: response.body));
       }
 
-      return true;
+      final responseJSON = json.decode(response.body) as Map<String, dynamic>;
+      final bool userExists = responseJSON['user_exists'] as bool;
+
+      return Right(userExists ?? false);
     } catch (err) {
       debugPrint(err.toString());
-      return false;
+      return Left(UnknownFailure(errorMessage: err.toString()));
     }
   }
 
-  Future<String> verifyEmail({@required String email, @required String code}) async {
+  Future<Either<Failure, String>> verifyEmail({@required String email, @required String code}) async {
     try {
       final headers = {'Content-Type': 'application/json'};
       final body = <String, String>{
@@ -39,16 +44,16 @@ class CakePhoneProvider {
 
       if (response.statusCode != 200) {
         debugPrint(response.body);
-        return null;
+        return Left(ServerFailure(response.statusCode, error: response.body));
       }
 
       final responseJSON = json.decode(response.body) as Map<String, dynamic>;
       final String token = responseJSON['token'] as String;
 
-      return token;
+      return Right(token);
     } catch (err) {
       debugPrint(err.toString());
-      return null;
+      return Left(UnknownFailure(errorMessage: err.toString()));
     }
   }
 }
diff --git a/lib/router.dart b/lib/router.dart
index 38770f148..9949e5d3d 100644
--- a/lib/router.dart
+++ b/lib/router.dart
@@ -361,7 +361,7 @@ Route<dynamic> createRoute(RouteSettings settings) {
     case Routes.cakePhoneVerification:
       return MaterialPageRoute<CakePhoneVerificationPage>(
         settings: RouteSettings(name: Routes.cakePhoneVerification),
-        builder: (_) => CakePhoneVerificationPage(),
+        builder: (_) => CakePhoneVerificationPage(getIt.get<CakePhoneAuthViewModel>()),
       );
 
     case Routes.cakePhoneProducts:
diff --git a/lib/src/screens/cake_phone/cake_phone_auth_page.dart b/lib/src/screens/cake_phone/cake_phone_auth_page.dart
index ceafeb2d6..8e0dbd8f4 100644
--- a/lib/src/screens/cake_phone/cake_phone_auth_page.dart
+++ b/lib/src/screens/cake_phone/cake_phone_auth_page.dart
@@ -62,7 +62,7 @@ class CakePhoneAuthBodyState extends State<CakePhoneAuthBody> {
       if (state is ExecutedSuccessfullyState) {
         _authBar?.dismiss();
         WidgetsBinding.instance.addPostFrameCallback((_) {
-          Navigator.pushNamed(context, Routes.cakePhoneVerification, arguments: _emailController.text);
+          Navigator.pushNamed(context, Routes.cakePhoneVerification);
         });
       }
 
diff --git a/lib/src/screens/cake_phone/cake_phone_verification_page.dart b/lib/src/screens/cake_phone/cake_phone_verification_page.dart
index 7a4d7b69a..d3ccda705 100644
--- a/lib/src/screens/cake_phone/cake_phone_verification_page.dart
+++ b/lib/src/screens/cake_phone/cake_phone_verification_page.dart
@@ -1,6 +1,11 @@
 import 'dart:async';
 
+import 'package:cake_wallet/core/execution_state.dart';
+import 'package:cake_wallet/di.dart';
 import 'package:cake_wallet/src/widgets/base_text_form_field.dart';
+import 'package:cake_wallet/utils/show_bar.dart';
+import 'package:cake_wallet/view_model/cake_phone/cake_phone_auth_view_model.dart';
+import 'package:flushbar/flushbar.dart';
 import 'package:flutter/material.dart';
 import 'package:flutter/cupertino.dart';
 import 'package:cake_wallet/routes.dart';
@@ -8,12 +13,15 @@ import 'package:cake_wallet/generated/i18n.dart';
 import 'package:cake_wallet/src/widgets/primary_button.dart';
 import 'package:cake_wallet/src/screens/base_page.dart';
 import 'package:cake_wallet/src/widgets/scollable_with_bottom_section.dart';
+import 'package:mobx/mobx.dart';
 
 class CakePhoneVerificationPage extends BasePage {
-  CakePhoneVerificationPage();
+  CakePhoneVerificationPage(this.authViewModel);
+
+  final CakePhoneAuthViewModel authViewModel;
 
   @override
-  Widget body(BuildContext context) => CakePhoneVerificationBody();
+  Widget body(BuildContext context) => CakePhoneVerificationBody(authViewModel);
 
   @override
   Widget middle(BuildContext context) {
@@ -29,7 +37,9 @@ class CakePhoneVerificationPage extends BasePage {
 }
 
 class CakePhoneVerificationBody extends StatefulWidget {
-  CakePhoneVerificationBody();
+  CakePhoneVerificationBody(this.authViewModel);
+
+  final CakePhoneAuthViewModel authViewModel;
 
   @override
   CakePhoneVerificationBodyState createState() => CakePhoneVerificationBodyState();
@@ -46,6 +56,9 @@ class CakePhoneVerificationBodyState extends State<CakePhoneVerificationBody> {
 
   bool disabled = true;
 
+  ReactionDisposer _reaction;
+  Flushbar<void> _authBar;
+
   @override
   void initState() {
     super.initState();
@@ -61,6 +74,35 @@ class CakePhoneVerificationBodyState extends State<CakePhoneVerificationBody> {
         setState(() {});
       }
     });
+
+    _reaction ??= reaction((_) => widget.authViewModel.state, (ExecutionState state) {
+      if (state is ExecutedSuccessfullyState) {
+        _authBar?.dismiss();
+        WidgetsBinding.instance.addPostFrameCallback((_) {
+        final userExists = state.payload as bool;
+          Navigator.pushNamedAndRemoveUntil(
+            context,
+            userExists ? Routes.cakePhoneActiveServices : Routes.cakePhoneProducts,
+            ModalRoute.withName(Routes.cakePhoneWelcome),
+          );
+          /// reset the authentication view model
+          getIt.resetLazySingleton<CakePhoneAuthViewModel>(instance: widget.authViewModel);
+        });
+      }
+
+      if (state is IsExecutingState) {
+        WidgetsBinding.instance.addPostFrameCallback((_) {
+          _authBar = createBar<void>(S.of(context).authentication, duration: null)..show(context);
+        });
+      }
+
+      if (state is FailureState) {
+        WidgetsBinding.instance.addPostFrameCallback((_) {
+          _authBar?.dismiss();
+          showBar<void>(context, S.of(context).failed_authentication(state.error));
+        });
+      }
+    });
   }
 
   @override
@@ -150,11 +192,7 @@ class CakePhoneVerificationBodyState extends State<CakePhoneVerificationBody> {
             PrimaryButton(
               onPressed: () {
                 if (_formKey.currentState.validate()) {
-                  Navigator.pushNamedAndRemoveUntil(
-                    context,
-                    Routes.cakePhoneProducts,
-                    ModalRoute.withName(Routes.cakePhoneWelcome),
-                  );
+                  widget.authViewModel.verify(_codeController.text);
                 } else {
                   setState(() {
                     _autoValidate = AutovalidateMode.always;
diff --git a/lib/view_model/cake_phone/cake_phone_auth_view_model.dart b/lib/view_model/cake_phone/cake_phone_auth_view_model.dart
index ee5507988..f54e7edc1 100644
--- a/lib/view_model/cake_phone/cake_phone_auth_view_model.dart
+++ b/lib/view_model/cake_phone/cake_phone_auth_view_model.dart
@@ -20,28 +20,35 @@ abstract class CakePhoneAuthViewModelBase with Store {
   final CakePhoneProvider _cakePhoneProvider;
   final FlutterSecureStorage _secureStorage;
 
+  bool _userExists = false;
+  String _email = "";
+
   @action
   Future<void> auth(String email) async {
     state = IsExecutingState();
 
-    final isSuccessfullyAuthenticated = await _cakePhoneProvider.authenticate(email);
+    final result = await _cakePhoneProvider.authenticate(email);
 
-    if (isSuccessfullyAuthenticated) {
-      state = ExecutedSuccessfullyState();
-    } else {
-      state = FailureState("");
-    }
+    result.fold(
+      (failure) => state = FailureState(failure.errorMessage),
+      (userExists) {
+        _userExists = userExists;
+        _email = email;
+        state = ExecutedSuccessfullyState();
+      },
+    );
   }
 
   @action
-  Future<void> verify(String email, String code) async {
-    final String token = await _cakePhoneProvider.verifyEmail(email: email, code: code);
+  Future<void> verify(String code) async {
+    final result = await _cakePhoneProvider.verifyEmail(email: _email, code: code);
 
-    if (token != null) {
-      state = ExecutedSuccessfullyState();
-      await _secureStorage.write(key: PreferencesKey.cakePhoneTokenKey, value: token);
-    } else {
-      state = FailureState("");
-    }
+    result.fold(
+      (failure) => state = FailureState(failure.errorMessage),
+      (token) {
+        _secureStorage.write(key: PreferencesKey.cakePhoneTokenKey, value: token);
+        state = ExecutedSuccessfullyState(payload: _userExists);
+      },
+    );
   }
 }
diff --git a/pubspec_base.yaml b/pubspec_base.yaml
index 639cd818b..fb3b8b428 100644
--- a/pubspec_base.yaml
+++ b/pubspec_base.yaml
@@ -56,6 +56,7 @@ dependencies:
   permission_handler: ^5.0.1+1
   device_display_brightness: ^0.0.6
   country_pickers: ^2.0.0
+  dartz: ^0.10.1
 
 dev_dependencies:
   flutter_test:
diff --git a/res/values/strings_en.arb b/res/values/strings_en.arb
index aeac85094..1a0efad01 100644
--- a/res/values/strings_en.arb
+++ b/res/values/strings_en.arb
@@ -596,5 +596,9 @@
   "add_balance": "Add Balance",
   "forwards": "forwards",
   "invalid_email": "Invalid Email",
-  "invalid_verification_code": "Invalid verification code"
+  "invalid_verification_code": "Invalid verification code",
+  "unauthorized": "Un-Authorized access, Please login first then try again",
+  "page_not_found": "This page was temporary removed, Please check it later",
+  "server_failure": "Network Error, Please try again later",
+  "something_went_wrong": "Something went wrong, Please try again later"
 }