Quantum Computing poses a real threat to crypto, and slowly moving control processes risk leaving Blockchain’s vulnerable, according to Colton Dillion, a co -founder of Quip Network that provides quantum -proof vaults for storing digital assets.
While the technology, which uses the quantum states of subatomic particles to perform calculations instead of transistors and binary code, is still in its infant, companies, including Google and Microsoft, are pushing forward with research and development. The target is a massive step-up in speed that makes hard calculations such as cracking encryption, such as what is used to protect blockchains, faster and simpler.
And when quantum calculation becomes available, any striker is unlikely to advertise their presence immediately.
“The threat does not start with Satoshi’s keys being stolen,” Dillion said in an interview. “The real quantum attack will look subtle, quiet and gradually like whales that randomly moved funds. When everyone realizes what’s happening, it will be too late.”
Dillion’s Doomsday scenario involves a quantum-computing-driven double consumption attack. In theory, quantum calculation could reduce the mining required to a traditional 51% attack down to approx. 26%, Dillion said.
“So now you’ve compromised the 10,000 largest wallets. You rewind the chain, liquidate the 10,000 largest wallets, then double spend all transactions, and now you’ve really got an atomic bomb,” is how he imagines it.
Of course, the industry works to find a solution.
For example, Bitcoin developer Agustin Cruz suggested Qramp, a Bitcoin Improvement suggestion (BIP) that requires a migration of hard fork to quantum-proof addresses. Quantum Startup BTQ has suggested to replace the proof-of-work consensus system that supports the original blockchain completely with quantum-native consensus.
The problem is that the proposals must get social approval. Blockchain control, such as Bitcoin Improvement Proposals (beeps) and their Ethereum equivalents, Ethereum Improvement Proposals (EIPs), tend to be filled with politics, making it a long, inherent cautious process.
For example, the Bitcoin Society’s recent decision on the OP_RETurn feature year in creation was with months of developer debates about what is considered the “real” use of blockchain. Ethereum’s upgrades, like the merger, also faced long debates and delays.
Dillion claims that the management process leaves crypto hazardously exposed because threats of quantum calculation will develop much faster than the protocols can respond.
“Everyone is trying to do this from above and down by starting with a beep or an eip and getting everyone’s buy-in together. But we think this is a very difficult, heavy lift,” he said.
Quip Network’s quantum -proof vaults aim to bypass the political inertia by allowing immediate adoption of user level without requiring protocol upgrades. Vault’s gearing of hybrid cryptography that blends classic cryptographic standards with quantum-resistant techniques to provide blockchain-empowering security.
Effectively allows the whales that holds of large amounts of a cryptocurrency, to secure their stash while waiting for the machine of blockchain management to get it together. Crypto communities can’t afford casual debates, he claims.
“The beep and EIP processes are great for governance, but terrible for quick threat response,” Dillion said. “When Quantum strikes, attackers will not wait for social consensus.”
Colton Dillon talks at the IEEE CANADA BLOCKCHAIN FORUM, part of Consensus 2025 in Toronto. IEEE is a knowledge partner of consensus.
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