Bitcoin News Today: Sui Research Develops Quantum-Safe Upgrade for Blockchain Wallets

Researchers have made a significant advancement in quantum-resistant cryptography, introducing a solution that enables blockchain networks to upgrade to quantum-safe standards without requiring hard forks, address changes, or key updates [1]. The innovation, developed by Sui Research and co-authored by cryptographer Kostas Chalkias, is described as the first backward-compatible method for securing blockchain wallets against potential future quantum computing threats [1]. This approach leverages the deterministic key generation properties of the Edwards-curve Digital Signature Algorithm (EdDSA), which is used by blockchains such as Sui, Solana, and Near [1].

The core mechanism involves the use of zero-knowledge proofs to authenticate the transition from existing EdDSA-based keys to post-quantum public keys. This allows the network to accept new, quantum-resistant keys without invalidating old addresses or requiring users to re-sign transactions [1]. The process is particularly effective for dormant accounts, meaning users who have not interacted with their wallets for years can still benefit from the upgrade without additional action [1].

Despite the technical success, the solution does not extend to major cryptocurrencies such as Bitcoin and Ethereum, which rely on different cryptographic foundations, including the elliptic curve digital signature algorithm (ECDSA) and hash-based functions. These are considered vulnerable to quantum computing attacks, especially once quantum supremacy is achieved [1]. This exclusion has raised concerns within the crypto community, particularly as some speculate that quantum computing could eventually expose the true identity of Bitcoin’s pseudonymous creator or compromise the security of high-value wallets [1].

Dan Dadybayo, a researcher at Unstoppable Wallet, praised the breakthrough as one of the most important cryptographic developments in recent years, emphasizing its practicality for users who would otherwise face the complexities of a hard fork or key replacement [1]. Tomer Ashur of 3MI Labs further explained that the approach does not replace EdDSA but rather reinforces it against quantum threats by concealing the data a quantum adversary would need to break the encryption [1].

The broader implications highlight the challenges of retrofitting decentralized systems with new security measures. Unlike traditional infrastructure, blockchain networks require consensus among developers, node operators, and users, which can slow the adoption of even necessary upgrades [1]. The absence of Bitcoin and Ethereum from the new solution underscores the need for a more inclusive and forward-looking strategy to address quantum threats in the crypto space.

While quantum computing remains a distant but real risk, the urgency of finding viable post-quantum cryptographic solutions is growing. The recent development represents a step in the right direction, offering a model that could be adapted for other blockchain ecosystems in the future [1].

Source: [1] Backwards-compatible quantum fix found, but not for Bitcoin and Ethereum (https://coinmarketcap.com/community/articles/688a31121c29df0fa3641d79/)