Microsoft's Quantum Chip May Accelerate Bitcoin's Quantum Resistance

According to Cointelegraph, Microsoft has introduced its quantum computing chip, Majorana 1, on February 19, potentially advancing the timeline for Bitcoin to become quantum-resistant. This development comes as part of a broader effort by companies like Google, which recently launched its own quantum chip, Willow. River, a Bitcoin exchange, noted in a February 20 post on X that while a quantum computing breakthrough threatening cryptocurrencies is still distant, the new chip could hasten this timeline. River highlighted that although the Majorana 1 chip is not yet at the scale required to pose a threat, it could reach a significant milestone of 1 million qubits by 2027-2029. Such a quantum computer, if operated for extended periods, might be capable of compromising Bitcoin addresses through long-range attacks. River emphasized the importance of addressing potential vulnerabilities early, even if the threat remains a decade away. Critics argue that fears surrounding quantum computing's impact on cryptocurrencies are exaggerated. They suggest that a quantum computer capable of breaking cryptographic codes would likely target traditional financial institutions before Bitcoin. As of 2023, global banks held assets worth over $188 trillion, dwarfing the crypto market's $3.2 trillion capitalization. Some experts believe advancements in quantum computing could also be used to bolster Bitcoin's security. Notable cryptographer Adam Back predicts that post-quantum cryptography is still decades away, with ongoing research expected to yield more efficient signatures for Bitcoin. Bitcoin advocate Adrian Morris expressed skepticism about quantum computing's viability, citing issues with thermodynamics, memory, and calculations. Meanwhile, Preston Pysh, co-founder of The Investor’s Podcast Network, mentioned that the Bitcoin community is already exploring solutions like BIP-360, which proposes transitioning Bitcoin to a quantum-resistant framework. Alexander Leishman, CEO of River, acknowledged that a quantum threat to Bitcoin is not imminent but criticized the notion that the banking system would collapse before Bitcoin. He pointed out that centralized financial institutions employ multiple security layers beyond public key cryptography, such as symmetric password authentication and manual controls for large fund transfers. In contrast, a Bitcoin quantum attack would only require knowledge of the Bitcoin public key.