**Quantum Computing Threatens Bitcoin and Ethereum Security: What You Need to Know**
Bitcoin and Ethereum, the two largest blockchain networks, use the Elliptic Curve Digital Signature Algorithm (ECDSA) to secure transactions and protect user wallets. However, recent warnings from Mysten Labs and cybersecurity experts highlight that quantum computers could break ECDSA encryption within the next decade by running Shor’s Algorithm. This breakthrough would allow attackers to reverse-engineer private keys from public blockchain data, putting millions of wallets at risk.
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### The Quantum Threat to Blockchain Security
ECDSA’s security hinges on complex mathematical problems that, until now, were considered practically unsolvable. Quantum computers, however, can solve these problems efficiently, potentially exposing private keys tied to public blockchain addresses. Kostas Chalkias, co-founder and chief cryptographer at Mysten Labs, emphasizes the urgency for blockchains to adopt post-quantum cryptography standards to mitigate this imminent threat.
Government cybersecurity organizations, including the U.S. National Institute of Standards and Technology (NIST) and the European Union Agency for Cybersecurity (ENISA), recommend phasing out vulnerable encryption methods like ECDSA and RSA between 2030 and 2035. Despite these guidelines, most major crypto networks have yet to begin implementing post-quantum upgrades.
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### Which Blockchains Are Better Prepared?
Some blockchain networks have architectural advantages when it comes to quantum resilience. Platforms such as Solana, Sui, and Near use the Edwards-curve Digital Signature Algorithm (EdDSA) instead of ECDSA. EdDSA-based systems are structurally better suited for transitioning to quantum-resistant algorithms, potentially offering enhanced protection against future quantum attacks.
Additionally, projects like Sui, Ethereum, and Algorand are actively testing quantum-resistant cryptographic solutions. Sui, for example, has taken innovative steps to maintain backward compatibility, aiming to secure older wallets not originally designed with quantum threats in mind.
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### The Challenges of Upgrading Bitcoin and Ethereum
Upgrading Bitcoin and Ethereum to quantum-safe cryptography is no small feat. Ahmed Banafa, a computer science professor at San Jose State University, explains that implementing such changes would require hard forks—major network upgrades that change wallet addresses and demand fund migrations to new, quantum-resistant systems.
Historically, hard forks have led to divisions within communities, as was the case when Ethereum split into Ethereum and Ethereum Classic after a 2015 hack rollback. Similar community disagreements could arise with quantum-related upgrades, complicating the transition process.
The scale of the issue is enormous. With millions of Bitcoin and Ethereum wallets globally, users who fail to upgrade risk having vulnerable wallets that could be exploited by quantum attacks. This situation not only threatens individual funds but could also erode confidence and trust in the crypto ecosystem more broadly.
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### Emerging Risks Beyond Encryption
A Cornell University study highlights another layer of risk: AI-driven manipulation of blockchain systems. Malicious actors might inject fake data or prompts that trigger unauthorized transactions or protocol breaches. Combining AI vulnerabilities with quantum computing’s potential to break encryption amplifies the threat facing blockchain security.
Chalkias warns that quantum computers might compromise up to 25% of all Bitcoin, with legacy wallets exposing public keys being the most vulnerable. Even users who keep their private keys secure could lose the ability to prove ownership if their wallet data is compromised by quantum attacks.
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### Current State of Preparedness and the Road Ahead
Research indicates a widespread lack of preparation among major crypto platforms. Many high-value networks continue using ECDSA without integrating quantum-resistant alternatives. According to Chalkias, the industry prioritizes growth and adoption over security upgrades, with limited collaboration between blockchain developers, quantum computing experts, and AI researchers.
When Bitcoin launched in 2009, quantum computing was not a pressing concern—the SHA-256 hashing algorithm seemed secure enough to last for decades. However, advancements in quantum technology have outpaced expectations, reshaping the security landscape. Some experts note that if Bitcoin had adopted EdDSA initially, even Satoshi Nakamoto’s original wallets might be quantum-safe today. Unfortunately, revising Bitcoin’s foundational design at this stage is practically impossible.
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### Why Action Must Start Now
While time remains to address these vulnerabilities, experts stress that proactive planning is critical. Every crypto protocol needs to review its encryption methods and develop upgrade paths before quantum computers reach the power to break existing systems.
Furthermore, breakthroughs in quantum technology could come sooner than anticipated. Advances in artificial intelligence may accelerate quantum progress, potentially shortening the timeline of the threat by several years.
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### Conclusion
Quantum computing poses a serious and growing threat to the security of Bitcoin, Ethereum, and many other blockchains that rely on ECDSA encryption. The path forward involves difficult but necessary upgrades to quantum-resistant cryptography, which will require technical innovation, community consensus, and global collaboration.
As the crypto industry prepares for this new era, users should remain informed about wallet security and keep an eye on developments regarding quantum-proof solutions. The future of blockchain security depends on swift and coordinated action today.
https://coincentral.com/quantum-computing-threatens-bitcoin-and-ethereum-security-mysten-labs-warns/
