13:00 ▪
4
min reading ▪ acc
The shadow of quantum computing is now hovering over the cryptocurrency world. While Chinese scientists have reportedly taken a key step forward by using a quantum computer to bypass traditional encryption systems, a fundamental question arises: is the security of Bitcoin and other cryptocurrencies really at risk? Capable of performing calculations that no classical machine could solve, quantum computers are seen by some as a sword of Damocles hanging over current encryption protocols.
The progress of Chinese researchers and the potential threat
The work carried out by researchers at the University of Shanghai has caused a wave of concern in the crypto sector. According to a report provided by the South China Morning Post on October 11, these researchers were able to use D-Wave’s quantum computer to bypass several sophisticated encryption algorithms, which are mainly used to secure bank accounts and crypto-wallets. The breakthrough, called a “real and substantial threat” by researchers at the university, is the first time a quantum computer has tackled complete encryption systems at scale.
However, several experts, including Massimiliano Sala, a professor at the University of Trento, are urging caution. They point out that the study’s results remain vague, particularly regarding the size of the allegedly broken RSA keys. “There is no evidence that these researchers have been able to crack keys the size of those currently used by banks,” explains Sala. If that were the case, it would be a major shakeup for the crypto industry.
The real state of the quantum threat to Bitcoin
Although the work in Shanghai raises a legitimate question about the future of encryption system security, it is essential to understand that the quantum computers in use so far, such as D-Wave, are not general-purpose machines capable of massively cracking crypto-currency keys. Takaya Miyano, a professor at Ritsumeikan University in Japan, says the Chinese researchers only considered a 22-bit integer, which is a far cry from the 1024 or 2048 bits used in modern RSA systems. “D-Wave is a quantum simulator designed to solve specific optimization problems, but it is not yet able to rapidly decompose large RSA numbers in the real world,” explains Miyano.
This means that for now, the private keys of Bitcoin and other cryptocurrencies are safe. However, this advance in quantum computing should not be ignored. Vitalik Buterin, co-founder of Ethereum, has already mentioned the idea of a “hard fork” to respond to a possible quantum attack. “We are already in a good position to launch an update if there is a threat,” he said. However, many experts, such as Samuel Mugel, CTO of Multiverse Computing, believe that such a fork would be complex and require broad consensus within the community.
Ultimately, the threat posed by quantum computing to Bitcoin and the blockchain should be closely monitored, but is not yet an immediate emergency. Chinese scientists have taken an important step forward, but current encryption systems remain resistant to the limited capabilities of today’s quantum computers. However, the industry will have to prepare for a future where more powerful machines could be created. Adopting post-quantum encryption is becoming a must to protect the crypto ecosystem and ensure its resilience against the technological threats of tomorrow.
Maximize your Cointribune experience with our “Read and Earn” program! Earn points for every article you read and get access to exclusive rewards. Register now and start reaping the benefits.
A graduate of Sciences Po Toulouse and holder of the blockchain consultant certification issued by Alyra, I joined the Cointribune adventure in 2019. Convinced of the potential of blockchain to transform many sectors of the economy, I made a commitment to raise awareness and inform the general public about this ever-evolving ecosystem. My goal is to enable everyone to better understand blockchain and take advantage of the opportunities it offers. Every day I try to provide an objective analysis of current events, decipher market trends, convey the latest technological innovations and put into perspective the economic and social problems of this ongoing revolution.
DISCLAIMER OF LIABILITY
The comments and opinions expressed in this article are solely those of the author and should not be considered investment advice. Before making any investment decision, do your own research.