Bitcoin News Today: Quantum-Safe Wallet Upgrade Excludes Bitcoin Ethereum

A breakthrough in quantum-resistant cryptography has emerged, offering a backward-compatible upgrade path for blockchain wallets to protect against future quantum computing threats [1]. The framework, developed by Sui Research and co-authored by cryptographer Kostas Chalkias, enables quantum-safe wallet transitions without the need for hard forks, address changes, or re-signing of transactions. This innovation applies to chains that use the Edwards-curve Digital Signature Algorithm (EdDSA), including Sui, Solana, Near, and Cosmos. However, it explicitly excludes major networks like Bitcoin and Ethereum, which rely on cryptographic systems not compatible with the new method [1].

The significance of this advancement lies in its ability to fortify existing cryptographic algorithms rather than replace them. By leveraging deterministic key derivation from a seed and utilizing zero-knowledge proofs, the framework allows for secure transitions to post-quantum cryptography without disrupting user access or network consensus. Dan Dadybayo, a researcher at Unstoppable Wallet, emphasized that this is one of the most important cryptographic breakthroughs in recent years [1]. The approach ensures that even dormant accounts can be upgraded securely, eliminating the need for account freezes or contentious hard forks [1].

Despite the progress, the exclusion of Bitcoin and Ethereum from the quantum-safe solution raises critical concerns. These networks use cryptographic foundations—such as ECDSA for Bitcoin—that are particularly susceptible to quantum attacks. Once quantum computers reach the necessary computational power, these networks could face widespread vulnerabilities, potentially exposing millions of wallets and even Satoshi Nakamoto’s early holdings [1]. Adam Back, an early Bitcoin contributor, noted that quantum computing could force Satoshi to move his Bitcoin to avoid theft or even prompt the community to debate freezing vulnerable addresses [1].

The broader blockchain industry is acutely aware of the quantum threat and is actively exploring mitigation strategies. Unlike traditional IT systems, blockchain networks must balance security upgrades with the need to maintain decentralization and consensus. The recent development offers a viable path for some chains but highlights the urgent need for tailored solutions for major networks like Bitcoin and Ethereum. As quantum computing advances, the window to implement protective measures becomes narrower, and the stakes for the cryptocurrency sector grow higher.

Researchers at 3MI Labs and Mynth have acknowledged the potential of this approach, but also stressed that the success of the framework depends on its accuracy and adoption. Tomer Ashur of 3MI Labs noted that the method effectively hides critical data from quantum adversaries by reinforcing the EdDSA algorithm rather than replacing it [1]. Robert Roose of Mynth described it as a major development, albeit with the caveat that its effectiveness remains conditional [1].

The implications of this innovation extend beyond technical discussions. As the quantum countdown continues, the industry faces a pivotal moment in deciding how to address one of the most existential threats to its infrastructure. Without proactive and coordinated action, the long-term viability of many blockchain networks could be compromised.

Source:

[1] Cointelegraph - [https://cointelegraph.com/news/quantum-safe-wallet-upgrade-excludes-bitcoin-ethereum](https://cointelegraph.com/news/quantum-safe-wallet-upgrade-excludes-bitcoin-ethereum)