Bitcoin News Today: Elon Musk Warns of Quantum Threats to Bitcoin Security

Elon Musk has raised concerns about the long-term security of Bitcoin in the face of advancing quantum computing technology, sparking renewed interest in the potential vulnerabilities of the cryptocurrency’s cryptographic framework. The Tesla and SpaceX CEO reportedly used his AI-powered chatbot Grok to explore the risk that quantum computers might pose to Bitcoin’s SHA-256 encryption. His inquiry coincided with IBM’s announcement of a new quantum system, Blue Jay, which aims to scale up to 2,000 qubits by 2033 [1].

Grok’s evaluation indicated that the probability of quantum computers breaking Bitcoin’s encryption remains low for the next five years, with the likelihood of such an event occurring still under 10% by 2035. The analysis draws on expert opinions from 2025, including insights from IBM and researchers at the National Institute of Standards and Technology (NIST), who note that current quantum systems lack the capability to crack SHA-256 effectively [1]. The AI also suggested that stronger cryptographic algorithms, such as SHA-3 or SHA-512, could be implemented as a safeguard if needed.

The concerns are not isolated to Musk. Tech giants like Google and Microsoft are also advancing quantum computing initiatives, including Google’s Willow and Microsoft’s Majorana 1. However, even the most advanced quantum systems today are limited to approximately 1,000 qubits, far short of the millions of error-corrected qubits required to break Bitcoin’s encryption [1]. Deloitte’s recent report also warned of potential quantum threats to Bitcoin’s blockchain, estimating that up to 25% of the cryptocurrency could be at risk of theft via quantum attacks in the future. To counter this, the development of post-quantum cryptographic methods is being explored by cryptographers globally, though the process remains complex and ongoing [1].

Musk’s interest in the issue is both personal and professional. Tesla holds 11,500 Bitcoin units, valued at around $1.3 billion, while SpaceX is estimated to hold approximately $850 million in Bitcoin. The CEO has also confirmed his own personal holdings, making his concerns about the long-term risks of quantum computing both practical and relevant [1]. The broader implications extend beyond Bitcoin, highlighting growing awareness in the technology and finance sectors about the potential impact of quantum computing on digital security. As quantum capabilities evolve, the need for adaptive and robust cryptographic solutions becomes increasingly urgent for cryptocurrencies and other digital assets [1].

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[1] Elon Musk Poses Chilling Question—Can Quantum ... (https://bitcoinist.com/elon-musk-poses-chilling-question-can-quantum-computers-hack-bitcoin/)