Catenaa, Thursday, July 31, 2025-Quantum computing advances threaten to undermine the security of major cryptocurrencies like Bitcoin and Ethereum, according to new research from Mysten Labs.
The report highlights that older blockchain networks relying on the Elliptic Curve Digital Signature Algorithm (ECDSA) face steep challenges in upgrading to quantum-resistant protocols, putting trillions of dollars in digital assets at risk.
Networks using the newer Edwards-curve Digital Signature Algorithm (EdDSA), such as Solana and Sui, are structurally better prepared to implement quantum-resistant defenses.
Bitcoin and Ethereum’s reliance on ECDSA makes them vulnerable to quantum attacks leveraging Shor’s algorithm, which can efficiently break current cryptographic keys by factoring large numbers.
Kostas Chalkias, co-founder and chief cryptographer at Mysten Labs, emphasized the urgency for blockchain communities supporting sovereign assets, ETFs, or central bank digital currencies to adopt post-quantum cryptographic standards by 2030-2035 to preserve credibility and security.
Google’s recent research also indicates that breaking RSA encryption might require 20 times fewer quantum resources than previously thought, intensifying the threat to blockchain security.
Experts warn Bitcoin will need a hard fork to upgrade to quantum-safe protocols, a process complicated by community divisions similar to the 2016 Ethereum Classic split.
Proposals have been made to incentivize users to secure quantum-safe wallets and freeze vulnerable coins.
While quantum computers capable of these attacks are not yet operational, the industry is urged to prepare now to avoid a potential “existential threat” to crypto security.
