- Quantum computers are in the early stages of development. Even so, they can be a threat to the world of cryptocurrencies
- Their capabilities are many times stronger than those of classic computers
- The crypto community is aware of the problems and is already preparing some solutions
Imagine safe with a combination lock that you need to know to open secret code. This code is so complex that it would take a regular computer miliony letbefore breaking it. But it is different with a quantum computer. He could unlock the safe thanks to his abilities in a moment. Now imagine that safe is hiding it your bitcoins.
Super-powerful quantum computers operating on the principles of quantum mechanics could theoretically crack the encryptionon which cryptocurrency security is based. In this article, we will look at how real this threat is and how the cryptocurrency community is preparing for it.
How quantum computers work and what is blockchain
Quantum computers differ from classical computers in that they use them as basic information units qubity (read kjubit) instead of bits. While a bit can only take on a value 0 or 1the qubit can acquire both values simultaneouslythanks to a physical principle called superposition. This allows quantum computers to perform calculations much faster than their classical relatives.
Another important principle of quantum mechanics is quantum entanglementwhich allows the connection of two qubits such that a change in the state of one qubit will immediately affect the state of the othereven if they are apart physically distant. These properties give quantum computers enormous performance potential in many areas, but they also represent a threat for existing cryptographic systems.
Cryptocurrencies such as Bitcoin are digital currencies that use cryptography to transaction security and controls the creation of new units. A fundamental element of cryptocurrency technology is blockchainwhich is a decentralized and public database that records all transactions. Each block in the blockchain contains transaction information and is linked to the previous block using cryptographic keys of hashes (unique codes). This ensures the integrity and immutability of data in the blockchain.
The security of cryptocurrencies is based on asymmetric cryptography, which uses a pair of keys: public a private key. The public key serves to encryption that a digital signature verificationwhile the private key serves to decryption that a creating a digital signature. The private key must be kept secret because by revealing it an attacker could gain control over cryptocurrencies in their owner’s digital wallet. This brings us to the main risk that quantum computers pose.
Why could quantum computers threaten cryptocurrencies?
Quantum computers could break through asymmetric cryptography, which is the basis of the security of cryptocurrencies. This could lead to theft of cryptocurrencies, forgery of digital signatures, and breach of blockchain integrity.
Bitcoin is vulnerable in this regard because pay-to-public-key (p2pk) transactions and reused pay-to-public-key-hash (p2pkh) addresses reveal the public key from which a quantum computer could derive the private key and steal bitcoins. Analysis of the blockchain of the largest cryptocurrency showed that approx 25% Bitcoins is in circulation potentially vulnerable against quantum attack.
The power of quantum computers in specific tasks is many times higher than the power of ordinary ones that you have on your desk. Let’s say a mathematical problem that a regular PC would solve 10 000 letwill be solved by a quantum computer in progress a few seconds.
Bitcoin and many other cryptocurrencies are “mined” by solving complex mathematical problems. This process, known as Proof of Workensures not only the security and decentralization of the network, but also the trust in the value of the cryptocurrency. However, a powerful quantum computer could violate this principle and thereby endanger both security and value of bitcoins and other cryptocurrencies that stand on this system.
How are cryptocurrencies defended?
The cryptocurrency community is aware of the risks of quantum computers and working on its solution. One of them is to switch to post-quantum cryptography that is resistant to “attacks” by quantum computers. The point is to use mathematical problems that are assumed not to be easily solved even by quantum computers.
However, the transition to post-quantum cryptography is not simple and requires cooperation and consensus within the cryptocurrency community. Another problem is that many owners of vulnerable bitcoins have lost their private keys and cannot move their bitcoins to more secure addresses. Currently, the amount of lost coins is estimated at roughly 3 and a half to 4 million pieces. Which is a high percentage of the final amount 21 million bitcoinswhich will be mined until 2140.
The future is not so bleak. The crypto community is already taking action
In addition to the transition to post-quantum cryptography, other options such as extension of time required to confirm transactions or rollout new mechanisms to protect private keys.
So quantum computers represent a challenge for cryptocurrencies, but not necessarily the end. The cryptocurrency community is active and innovative and will most likely find ways to deal with this new threat.
There is still some time left, because currently there are quantum computers extremely expensive devices with limited usability. The problems lie mainly in high error rates and a limited number of qubits. Experts estimatethat wider practical availability of this technology could come in handy 10 to 20 yearsalthough the exact time depends on technological progress and economic investment. However, this does not mean that the cryptocurrency community can ignore the threat – on the contrary, the preparation for the quantum era has already begun.
Do you think quantum computers have the potential to threaten cryptocurrencies?
Source: www.svetandroida.cz
