Quantum computers can fasten cryptocurrency mining in the future. The technology might also bind other means of digital communication, such as email, messaging services, and online banking.
This is clear from a recent Cybersecurity and Infrastructure Security Agency (CISA) report. The US government agency reports that a transition to post-quantum cryptography is necessary. According to the CISA report,
“Don’t wait for adversaries to act with quantum computers. Early preparations will ensure a smooth transition to post-quantum cryptography standards as they become available.”
The debate on whether quantum computers can crack public-key cryptography has been ongoing. Quantum computers use complex physics to compute powerful equations. Super-quantum computers are improving too.
The improvements include adding 14 entangled calcium ion qubits in 2011, 16 superconducting qubits in 2018, and 18 entangled qubits in 2018 it was done. CISA says quantum computing will create new opportunities because current technology negatively affects cryptographic security.
Blockchain Projects Prepare for a Post-Quantum World
Cryptocurrencies use modern cryptography, which is relatively secure. However, post-quantum cryptography should secure cryptocurrencies. Honeywell announced in 2020 that it had built a quantum computer that uses six practical qubits.
After this announcement, crypto advocates began discussing the possibilities of quantum computing for Bitcoin 256-bit cryptography. Cambridge Quantum Computing is working with Honeywell on a project that applies to any blockchain network.
Will Quantum Computing Bring Down Bitcoin
Quantum computers are going to break the current cryptography methods eventually. These include the signature algorithms of Bitcoin and other cryptocurrencies. About a quarter of the Bitcoins in circulation ($168 billion) in 2022 will be vulnerable to quantum attacks.
Itan Barmes led a Bitcoin blockchain vulnerability research where he pointed out the vulnerability of Bitcoin to quantum computing. Confidence in the system will be lost, and Bitcoin will likely drop to zero.
Today’s cryptocurrency market is valued at around $3 trillion. Bitcoin hit a record high of over $65,000 in 2021, the highest in the past decade; it is the best-performing asset class. Bitcoin’s eventful journey into mainstream investor portfolios coincides with significant advances in quantum computing.
Bitcoin Cybersecurity Weakness Lies in Public Keys
Most industry insiders believe that poor communication between the quantum computing community and the Bitcoin community threatens future cybersecurity. Many statements from both communities show a lack of understanding on the other side.
Blockchain presents unique challenges for quantum-safe cryptography due to its decentralized nature and the associated complexity of governance structures. Consensus takes much more time than people think. Governance issues have received little attention.
Bitcoin vs. Quantum Computers
Public and private agencies of the Cybersecurity and Infrastructure Security Agency (CISA) cannot crack public-key encryption algorithms; however, public and private agencies must prepare for future threats.
Most digital communications use public-key cryptography. According to the CISA, as quantum computers reach higher computational power and speed levels, the public-key cryptographic algorithms will become vulnerable. Therefore, cryptocurrency investors and miners need to upgrade.