Quantum computing is developing exponentially. This technology can solve problems that even the most powerful classic computers can’t manage. As these advancements accelerate, the risk of Bitcoin’s security rises instantly.
In a conversation with Beincrypto, David Carvalho, CEO of Naoris Protocol, explains that quantum computers can one day break current encryption algorithms, making the most secure wallets destructible. According to him, this reality is imminent and the crypto industry should have begun to worry about it long ago.
Unlock unprecedented calculus power
Quantum computing represents a groundbreaking field of technology that leverages the unique principles of quantum mechanics that tackle computational challenges well beyond the scope of traditional computers.
While still in development, the field promises to unlock solutions to highly complex problems, performing calculations at a rate at which the current machine cannot match.
This new frontier in computing is poised to transform sectors from medicine to encryption. As a result, it’s also very bad news for Bitcoin and the crypto industry as a whole.
How does quantum computing put current encryption at risk?
Quantum computing presents a major threat to current encryption methods by efficiently solving the complex mathematical problems that underpin security.
Latest public encryption including RSA encryption and Elliptic Curve Cryptography (ECC) – used by Bitcoin – is related to the extreme difficulty of classic computers to solve these problems.
Scholl’s algorithm, developed by American computer scientist Peter Scholl, poses a serious threat by efficiently solving the complex mathematical problems that underpin these modern encryption methods.
This means that a powerful quantum computer running Shor’s algorithm can quickly grasp hidden numbers that protect RSA, or crack the complex calculations used in ECC.
“It’s not just Bitcoin. Ethereum and most blockchains rely on elliptic curve encryption (ECC), and quantum breaks it down. It’s just mathematics. Anything that depends on encryption, facilities, military, banks, you name it.
While quantum computers today cannot break current encryption yet, this threat could become a reality within the next decade.
Competition with Time: Securing the future of Bitcoin
According to experts like Carvalho, the development of quantum resistance encryption is important for Bitcoin’s survival in the quarter world. This objective must be a top priority for the industry as time is important.
“Experts predict that ‘Q-day’ (the day a quantum computer can break current encryption algorithms) will come in the next five to seven years, but that could be faster.
Hackers may already be collecting existing data and plan to use it for attacks when quantum computing becomes available.
“The worst part about quantum attacks is that they are retroactive. Therefore, all transactions recorded on the Bitcoin blockchain run the risk of compromise, regardless of when it happened. This data is available for harvesting now.
As time comes, it no longer matters whether a user’s Bitcoin is held in cold storage. For Carvalho, protecting all nodes, transactions, and devices is the only solution to protect them from these losses.
“The only way to protect this is to move to post-Quantum encryption, which means upgrading all signature algorithms at the protocol level.
This reality extends to other corners of society. Industry such as global banking, secure communications and other critical infrastructures are also affected.
Beyond Bitcoin: A Universal Security Threat?
Threats to Bitcoin are a prominent concern, but the impact of quantum computing is far beyond that, poses fundamental risks to almost every aspect of digital security.
“Quantum has the ability to break all encryption at the same time. This includes banking, secure communications, everything. It’s a national security issue, financial stability issue, and most importantly, trust issue. Organizations recording encrypted data already have the means to decrypt it tomorrow.
In global banking, Quantum Computers can damage financial transactions, leading to fraud, theft, and crumbling trust, especially as collected financial data can be decrypted later.
For secure communications such as HTTPS, VPNs, and email, quantum attacks can damage private messages, identity spoofing, and privacy. Similarly, critical infrastructures such as power grids and transport systems face catastrophic cyberattacks if encryption is broken.
Narrow window
Carvalho emphasized that while there is still time to act, the window will be slimmer by that day. However, once Q-Day arrives, it will not return. There is no way to retrospectively protect your digital system.
“The quantum threat to encryption is now urgent and we don’t have time to waste any more. We can’t wait for regulations or rely on a reactive response. That won’t work,” he said.
This is especially true for industries like Crypto, which rely solely on these digital systems.
“In particular, we need to be careful because the Web3 ecosystem is completely digital. It is progressive and should lead the way to cybersecurity innovation, and quantum attack resilience is one area of cybersecurity that remains the most important thing,” concluded Carvalho.
How the sector prepares for this imminent moment is paramount to its survival.
Disclaimer
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