Latest news with #ECDSA
Yahoo
20 hours ago
- Business
- Yahoo
Bitcoin Devs Float Proposal to Freeze Quantum-Vulnerable Addresses — Even Satoshi Nakamoto's
A new Bitcoin draft proposal wants to do what's long been unthinkable: Freeze coins secured by legacy cryptography — including those in Satoshi Nakamoto's wallets — before quantum computers can crack them. That's according to a new draft proposal co-authored by Jameson Lopp and other crypto security researchers, which introduces a phased soft fork that turns quantum migration into a ticking clock. Fail to upgrade, and your coins become unspendable. That includes the roughly 1.1 million BTC tied to early pay-to-pubkey addresses, like those of Satoshi's and other early miners. 'This proposal is radically different from any in Bitcoin's history just as the threat posed by quantum computing is radically different from any other threat in Bitcoin's history,' the authors explained as a motivation for the proposal. 'Never before has Bitcoin faced an existential threat to its cryptographic primitives.' 'A successful quantum attack on Bitcoin would result in significant economic disruption and damage across the entire ecosystem. Beyond its impact on price, the ability of miners to provide network security may be significantly impacted,' they added. The draft BIP outlined three phases: Phase A: Banning sending funds to legacy ECDSA/Schnorr addresses, nudging users toward quantum-resistant formats like P2QRH. (Starts 3 years after BIP-360 implementation) Phase B: Make all legacy signatures invalid at the consensus layer. Coins in quantum-vulnerable addresses become permanently frozen. (Kicks in 2 years after Phase A) Phase C (optional): Introduce a recovery path for stuck coins using zero-knowledge proof of BIP-39 seed possession. This could be a hard or soft fork. But Why Now? Bitcoin's cryptography has never faced an existential threat and still doesn't, except pre-emptive ones that can possibly target early wallets. Researchers say quantum computers capable of breaking ECDSA may arrive as soon as 2027. A May report by CoinDesk flagged a new study suggesting that breaking RSA encryption with quantum computers may require 20 times fewer resources than previously thought. Although Bitcoin uses elliptic curve cryptography, it remains vulnerable to quantum attacks similar to those threatening RSA. Current quantum computers are not yet capable of breaking these encryption methods, but research is rapidly advancing. Earlier in July, eight legacy Bitcoin wallets moved over $8.5 billion worth of 'Satoshi-era' bitcoin after 15 years of dormancy — sparking speculation, among some, about moving to wallets with improved security as That's the red line for Lopp and the team. Around 25% of all bitcoin have exposed their public keys, meaning they're vulnerable to a 'Q-day' style attack. If attackers are patient, they could use quantum tools to quietly drain dormant wallets over time without tripping alarms. 'Quantum attackers could compute the private key for known public keys then transfer all funds weeks or months later, in a covert bleed to not alert chain watchers,' the draft proposal stated. 'Q-Day may be only known much later if the attack withholds broadcasting transactions in order to postpone revealing their capabilities.' The proposal is still in draft stage and has no BIP number yet. And it may be the only way Bitcoin survives a quantum in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Biz Bahrain
2 days ago
- Business
- Biz Bahrain
Kaspersky highlights top risks of Quantum Computing
Kaspersky is addressing one of the most debatable technological challenges of the coming decade: the rise of quantum computing and its potential impact on digital security. In this context, experts have identified the main quantum threats that demand immediate action from the cybersecurity community. As classical computers approach their physical limits, their performance growth is slowing — constraining progress in areas that depend on complex computation. At the same time, quantum computers, offering the potential to solve specific problems far faster than classical systems. For now, however, their practical use remains limited to narrow and experimental domains. Nevertheless, experts estimate that we may see a fully fault-tolerant quantum computer within the next decade — a development that could unlock significant advances, but also unleash a new era of cybersecurity threats. Supporting this urgency, Deloitte's 2024 Global Future of Cyber Survey reports that 83% of organizations are already assessing or taking steps to address quantum computing risks, demonstrating growing awareness and proactive strategies in the private sector. To better understand the scope of the evolving threat, Kaspersky has identified three of the most urgent quantum-related risks that demand action from the cybersecurity community: The top three risks Quantum computers could be used to compromise the traditional encryption methods that currently protect data in countless digital systems — posing a direct threat to global cybersecurity infrastructures. Threats include the interception and decoding of sensitive diplomatic, military, and financial communications, as well as the real-time decryption of private negotiations – something quantum systems could handle much faster than classical machines, turning secure conversations into open books. 1. Store now, decrypt later: the key threat of the coming years Threat actors are already harvesting encrypted data today, with the intention of decrypting it in the future once quantum capabilities advance. This 'store now, decrypt later' tactic could expose sensitive information years after it was originally transmitted — including diplomatic exchanges, financial transactions, and private communications. 2. Sabotage in blockchain and cryptocurrency Blockchain networks are not immune to quantum threats. Bitcoin's Elliptic Curve Digital Signature Algorithm (ECDSA), which relies on elliptic curve cryptography (ECC), is especially vulnerable. Potential risks include forging digital signatures, which threatens Bitcoin, Ethereum, and other cryptocurrencies; attacks on ECDSA that secure crypto wallets; and tampering with blockchain transaction history, undermining trust and integrity. 3. Quantum-resistant ransomware: a new front Looking ahead, developers and operators of advanced ransomware may begin adopting post-quantum cryptography to protect their own malicious payloads. So-called 'quantum-resistant' ransomware would be designed to resist decryption by both classical and quantum computers — potentially making recovery without paying a ransom nearly impossible. At present, quantum computing does not offer a way to decrypt files locked by current ransomware. Data protection and recovery still rely on traditional security solutions and collaboration among law enforcement agencies, quantum researchers, and international organizations. Building quantum-safe defenses Quantum computers are not yet a direct threat — but by the time they are, it may be too late to respond. Transitioning to post-quantum cryptography will take years. Preparations must begin today. The cybersecurity community, IT companies, and governments must coordinate to address the risks ahead. Policymakers should develop clear strategies to migrate to post-quantum algorithms. Businesses and researchers need to begin implementing new security standards now. 'The most critical risk lies not really in the future, but in the present: encrypted data with long-term value is already at risk from future decryption. The security decisions we make today will define the resilience of our digital infrastructure for decades. Governments, businesses, and infrastructure providers must begin adapting now, or risk systemic vulnerabilities that cannot be retroactively fixed', states Sergey Lozhkin, Head of Kaspersky Global Research & Analysis Team for META and APAC.
Yahoo
30-05-2025
- Business
- Yahoo
Billionaire Chamath Palihapitiya has a blunt warning about quantum computing
Billionaire Chamath Palihapitiya has a blunt warning about quantum computing originally appeared on TheStreet. Billionaire investor Chamath Palihapitiya has warned that Google revealed breaking common encryption might be closer than we thought. 'If this is even remotely true, combined with everything else happening rn, the only safe trade are hard assets and, dare I say, gold,' Chamath posted on X. 'Sheesh.' In a blog post on May 23 titled 'Tracking the Cost of Quantum Factoring,' Google researchers announced they've drastically lowered the bar for what it would take to break RSA encryption, one of the most widely used security systems on the internet. 'Yesterday, we published a preprint demonstrating that 2048-bit RSA encryption could theoretically be broken by a quantum computer with 1 million noisy qubits running for one week,' wrote Craig Gidney and Sophie Schmieg from Google Quantum AI. Just five years ago, that number was 20 million qubits. Before that? A billion. RSA encryption is a form of asymmetric cryptography, which is basically a way to lock and unlock data using two separate keys: a public one and a private one. It's used in everything from HTTPS connections to secure emails, logins, and financial transactions. Google credits a combination of algorithmic improvements and more efficient quantum error correction. 'The reduction in physical qubit count comes from two sources: better algorithms and better error correction... On the algorithmic side, the key change is to compute an approximate modular exponentiation rather than an exact one.' They pointed to work by Chevignard, Fouque, and Schrottenloher from 2024 that enabled '1000x more operations than prior work,' which Google then optimized down to just 2x overhead. 'On the error correction side, the key change is tripling the storage density of idle logical qubits by adding a second layer of error correction,' the post added. This layered correction, plus a new technique called magic state cultivation, means quantum computers may now require far fewer resources to do serious damage. While RSA is not used in Bitcoin, the underlying principles matter. Bitcoin's cryptography, specifically, ECDSA (Elliptic Curve Digital Signature Algorithm)—is also vulnerable to quantum computing, just like RSA. And the threat isn't just theoretical. As Google notes: 'For asymmetric encryption, in particular encryption in transit, the motivation to migrate to PQC is made more urgent due to the fact that an adversary can collect ciphertexts, and later decrypt them once a quantum computer is available, known as a 'store now, decrypt later' attack.' That line is especially chilling for crypto. Anyone who's ever sent Bitcoin using a public key is technically exposed in a future where a powerful enough quantum computer exists. And the only thing standing between that and billions in value being drained is time and preparation. At the time of writing, Bitcoin was trading at $105,574, down 1.8% on the day, mirroring a broader pullback across the crypto market, with most major tokens in the red. Billionaire Chamath Palihapitiya has a blunt warning about quantum computing first appeared on TheStreet on May 30, 2025 This story was originally reported by TheStreet on May 30, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
07-04-2025
- Business
- Yahoo
Bitcoin Developer Proposes Hard Fork to Protect BTC From Quantum Computing Threats
Bitcoin could be headed for its most sweeping cryptographic overhaul yet if a new proposal gains traction. A draft Bitcoin Improvement Proposal (BIP) titled Quantum-Resistant Address Migration Protocol (QRAMP) has been introduced by developer Agustin Cruz. It outlines a plan to enforce a network-wide migration of BTC from legacy wallets to ones secured by post-quantum cryptography. Quantum computing involves moving away from a process reliant on binary code, ones and zeros, and exponentially increasing computing power by employing Quantum bits (qubits) that exist in multiple states simultaneously. Such a jump in power is expected to threaten modern computing encryption built by classic machines. The proposal suggests that after a predetermined block height, nodes running the updated software would reject any transaction trying to spend coins from an address using ECDSA cryptography, which could theoretically make it vulnerable to quantum attacks. Bitcoin currently relies on algorithms, including SHA-256 for mining and the Elliptic Curve Digital Signature Algorithm (ECDSA) for signatures. Per Cruz, legacy addresses that haven't yet transacted are protected by additional layers, while those that have exposed their public keys—necessary to conduct transactions—may now be vulnerable 'if sufficiently powerful quantum computers emerge.' The move would require a hard fork, which is likely going to be a tall ask from the community. A hard fork refers to a change to a blockchain that renders an older version incompatible. "I admire the effort but this will still leave everyone who doesn't migrate's coins vunerable, including Satoshi's coins," said one Reddit user about the new proposal. "Bitcoin could implement a post quantum security for all coins but that would need a hard fork, which due to bitcoin's history and the mantra repeated by maxis that would create a new coin and would not be bitcoin anymore." Read more: The Blocksize Wars Revisited: How Bitcoin's Civil War Still Resonates Today The proposed solution sets a migration deadline to lock those funds unless they're moved to a more secure wallet. This proposal isn't a response to any imminent breakthrough in quantum computing. Instead, it's a preventive measure, yet it comes a little over a month after Microsoft unveiled Majorana 1, a quantum processing unit designed to scale to a million qubits per chip. During a migration window, users would still be able to move funds freely. The BIP calls for wallet developers, block explorers and 'other infrastructure' to build tools and warnings to help users comply. After the deadline, non-upgraded nodes could fork from the network if they continue accepting legacy transactions. This is not the first time someone has suggested a mechanism to defend Bitcoin from quantum computing threats. Most recently, BTQ, a startup working to build blockchain technology that can withstand attacks from quantum computers, has proposed an alternative to the Proof of Work (PoW) algorithm involving quantum technology. In its research paper, BTQ proposed a method called Coarse-Grained Boson Sampling (CGBS). This process uses light particles (bosons) to generate unique patterns—samples—that reflect the blockchain's current state instead of hash-based mathematical puzzles. However, this proposal would also require a hard fork involving miners and nodes replacing their existing ASIC-based hardware with quantum-ready infrastructure. Read more: Quantum Startup BTQ Proposes More Energy Efficient Alternative to Crypto's Proof of Work
Yahoo
06-04-2025
- Business
- Yahoo
Bitcoin Developer Proposes Hard Fork to Protect BTC From Quantum Computing Threats
Bitcoin could be headed for its most sweeping cryptographic overhaul yet if a new proposal gains traction. A draft Bitcoin Improvement Proposal (BIP) titled Quantum-Resistant Address Migration Protocol (QRAMP) has been introduced by developer Agustin Cruz. It outlines a plan to enforce a network-wide migration of BTC from legacy wallets to ones secured by post-quantum cryptography. Quantum computing involves moving away from a process reliant on binary code, ones and zeros, and exponentially increasing computing power by employing Quantum bits (qubits) that exist in multiple states simultaneously. Such a jump in power is expected to threaten modern computing encryption built by classic machines. The proposal suggests that after a predetermined block height, nodes running the updated software would reject any transaction trying to spend coins from an address using ECDSA cryptography, which could theoretically make it vulnerable to quantum attacks. Bitcoin currently relies on algorithms, including SHA-256 for mining and the Elliptic Curve Digital Signature Algorithm (ECDSA) for signatures. Per Cruz, legacy addresses that haven't yet transacted are protected by additional layers, while those that have exposed their public keys—necessary to conduct transactions—may now be vulnerable 'if sufficiently powerful quantum computers emerge.' The move would require a hard fork, which is likely going to be a tall ask from the community. A hard fork refers to a change to a blockchain that renders an older version incompatible. "I admire the effort but this will still leave everyone who doesn't migrate's coins vunerable, including Satoshi's coins," said one Reddit user about the new proposal. "Bitcoin could implement a post quantum security for all coins but that would need a hard fork, which due to bitcoin's history and the mantra repeated by maxis that would create a new coin and would not be bitcoin anymore." Read more: The Blocksize Wars Revisited: How Bitcoin's Civil War Still Resonates Today The proposed solution sets a migration deadline to lock those funds unless they're moved to a more secure wallet. This proposal isn't a response to any imminent breakthrough in quantum computing. Instead, it's a preventive measure, yet it comes a little over a month after Microsoft unveiled Majorana 1, a quantum processing unit designed to scale to a million qubits per chip. During a migration window, users would still be able to move funds freely. The BIP calls for wallet developers, block explorers and 'other infrastructure' to build tools and warnings to help users comply. After the deadline, non-upgraded nodes could fork from the network if they continue accepting legacy transactions. This is not the first time someone has suggested a mechanism to defend Bitcoin from quantum computing threats. Most recently, BTQ, a startup working to build blockchain technology that can withstand attacks from quantum computers, has proposed an alternative to the Proof of Work (PoW) algorithm involving quantum technology. In its research paper, BTQ proposed a method called Coarse-Grained Boson Sampling (CGBS). This process uses light particles (bosons) to generate unique patterns—samples—that reflect the blockchain's current state instead of hash-based mathematical puzzles. However, this proposal would also require a hard fork involving miners and nodes replacing their existing ASIC-based hardware with quantum-ready infrastructure. Read more: Quantum Startup BTQ Proposes More Energy Efficient Alternative to Crypto's Proof of Work
