The Wall Street Journal (WSJ) has warned of a potential quantum computing threat to Bitcoin.Bitcoin) it in a Recent article as a “time bomb waiting to explode”.
This article addresses the possibility of advances in quantum computing posing a threat to Bitcoin's security and potentially becoming a threat to the entire blockchain industry.
In theory, a quantum computer could decrypt private keys in minutes, potentially making Bitcoin's security architecture obsolete. This was the discussion It has recently been revived when Google It unveiled its Willow quantum computing chip on December 9.
The crypto community has raised concerns about the possibility of a quantum hack happening sooner than expected in 10 years. Consequently, the WSJ article looked at the imminence of such an event and how it would affect the traditional financial system.
$3 trillion impact
This article used a forecast from a study published by the Hudson Institute think tank in 2022, which estimated that there would be more than $3 trillion in losses in digital and traditional currency markets in the event of a global recession.
Arthur Herman, a senior researcher at the Hudson Institute, stated:
What you have here is a ticking time bomb waiting to explode if and when someone acquires the ability to develop a quantum computer hack and decides to use it to target cryptocurrencies.
Additionally, the WSJ piece noted that these estimates are likely inflated as Bitcoin's market cap hits $2.1 trillion, hitting a record high of $108,000.
Skip Sanzeri, co-founder of quantum cybersecurity firm QuSecure, shared with the WSJ report:
Bitcoin is being targeted like crazy. Banks have some regulations, defense mechanisms and the ability to cover their customers, while Bitcoin is the wild west. If your bitcoins are stolen, your wallet will not refund you.
The article also pointed to 1.72 million inactive bitcoins at addresses with exposed public keys that are particularly vulnerable to quantum hacking. These addresses include the wallet of Bitcoin's pseudonymous creator, Satoshi Nakamoto.
Additionally, the paper noted that even Bitcoin transactions pending a 10-minute block time are vulnerable, as hackers can eventually breach the encryption and divert funds.
He does not wait for the apocalypse
Despite this threat, experts stress that there is time to act. Avalanche the founder Amin Gon Sirer He said that immediate fears are unfounded. He added:
There is definitely a quantum apocalypse on the horizon at some point in the future, but that point is far enough away that there's no need to panic.
Tech giant Meta Discuss the possibility of “Quantum apocalypse“ In an episode of the Metatech podcast in August. Meta engineers stressed that a quantum breakthrough would threaten the blockchain and all industries dependent on cryptography.
As a result, software engineers are working to create strong post-quantum cryptography. In Meta's case, they combine traditional algorithms with new technologies to develop security standards that work now and in the future.
These efforts mean that while quantum computing is a real threat to the blockchain industry, calling Bitcoin a ticking time bomb would be a misnomer as researchers make opposing efforts to prevent the crypto industry from collapsing.
Metatech experts ended the discussion on an optimistic note, stating that creating quantum-resistant cryptography is a complex task, but the challenge can be met.
