A system and method for processing, storage, distribution, and interaction with electronic images created or captured by mobile devices having network communications capabilities, such as smartphones, allows a user whose image-displaying device includes enhanced viewer software to use an image displayed on the image-displaying device as a portal for communication with others who have interacted with the image, including authors and facilitators of the image. Watermarking and security measures are provided to enable source and content verification of a displayed image so that user morphing of imagery can be tracked to maintain stability of image-based interaction and so that malicious imagery tamper can be prevented.