Primexbt blog – Share news about trading and cryptocurrencies

One of the main reasons why Bitcoin (BTC) as well as other cryptocurrencies are so popular and attractive to many investors is that they are created based on cryptographic systems that cannot be penetrated by hackers. traditional computers. However, the advent of supercomputers using quantum technology (Quantum or quantum computing) has become a threat to breaking these cryptographic rules, which are the most basic principle for operation. cryptocurrency movement.

The question here is: Is it possible to create a currency using quantum resistant technology?

What is a quantum computer?

Normally, computers store information using two characters 0 and 1. In which, all data entered into the computer, including numbers, text, and images can be represented in terms of numbers. a combination of 0 and 1. This string is called a bit.

Computers using quantum technology work differently from traditional computers. Instead of using bits, quantum computers operate with qubits(1), allowing them to handle difficult and large calculations within seconds. In contrast, with a traditional computer it would take hours or days to process this kind of data. Even in many cases, with highly complex math, traditional computers will not be able to handle it because the load exceeds the capacity of the bit system.

Therefore, making and developing quantum computers will simplify many things in various fields, including science, medicine, mathematics, technology, and more. But at the same time, it is also a double-edged sword that threatens to disrupt the cryptography behind Bitcoin and other cryptocurrencies, as well as traditional cryptosystems created to protect passwords. or financial information.

How can quantum computing affect the cryptocurrency market?

The reason quantum computing is a threat to the cryptocurrency industry is that it is possible to “decrypt” the private key (private key) leading to the virtual currency wallet, through the public key (public key). )(2).

As we know, if an individual holds the private key of his or her wallet, he or she will be the sole owner of that wallet. No one can tamper with or affect anything with this wallet and the funds held in it, unless they also have the wallet’s private key. However, with the advent of quantum computing, the concept of private keys could be threatened, leading to the collapse of the entire cryptocurrency market.

At the same time, computers using quantum computing are also capable of mining cryptocurrencies. This will significantly affect the processing speed of blocks and the amount of virtual currency released to the market. Specifically, if a quantum computer with extremely powerful processing speed starts mining Bitcoin, the time to decipher BTC blocks will be significantly reduced. That is, the hash rate will not be able to increase to a new level of power in time.

It is quite fortunate that the quantum computers created so far are not stable enough to do this. In addition, they also face some technical problems and wide applicability when moving towards commercialization. However, in the future, these weaknesses will lead to overcome, quantum computers with increasingly enhanced processing speed can be released and sold to organizations.

Once again, can Bitcoin and the cryptocurrency market be immune to quantum computing?

see more: Pantera Capital intends to raise $100 million for cyptocurrecy

Cryptocurrency using quantum resistant cryptocurrency technology

In early 2020, IBM released a commercial quantum computer that could reach the market of the future. Google also claims to have successfully built its own quantum computer. While this won’t have any impact on Bitcoin for the time being, in the not too distant future the entire crypto community really has to get ready to research and develop a cryptocurrency that uses quantum resistance technology. To ensure that the market will not be negatively affected by the advancement of next-generation supercomputers capable of doing many things that current computers cannot do.

Cryptocurrency using quantum resistance technology

In fact, quantum resistant is not a new concept in the crypto community in the past few years. There has been quite a bit of research effort into creating cryptocurrencies using quantum resistance technology. Developers and crypto enthusiasts were soon aware of this problem. In August 2020, one of the inventors of cryptocurrencies, David Chaum, claimed to have created a cryptocurrency that is resistant to quantum supercomputers.

So how much time does the crypto community have left?

Recently, a quantum computer running the Shor(3) algorithm was able to break ECDSA 256, one of Bitcoin’s foundational technologies. This is a warning that it is time for the crypto community to start working on a solution to make cryptocurrencies quantum resistant. A cryptocurrency with quantum-resistant technology would be something that is prepared in time to face the threat posed by quantum computers. While Bitcoin and other cryptocurrencies could be compromised in the next decade.

We have heard a lot about quantum computing and its threat to Bitcoin and other cryptocurrencies in the market primexbt exchange. While the threat is real, it may take a few more years for it to truly become a danger to the market. During that time, the crypto community will have to closely follow the evolution of quantum computing in order to understand and improve Bitcoin, making it a quantum resistant cryptocurrency. Overall, there is still time for Bitcoin but everything should be resolved ASAP.

Do you feel quantum computers are a real threat to the cryptocurrency market? Can we successfully research virtual currency using quantum resistance technology? Immediately share your opinion on this issue with the entire crypto community!