Coinbase Urges Early Quantum Defense for Bitcoin, Citing 5% Holding
Coinbase says bitcoin should begin preparing for quantum threats now, proposing flexible addresses and a backup quantum-proof key.
Coinbase, which holds about 5% of all bitcoin, is calling for the network to start preparing for the threat posed by quantum computers. The exchange outlined its position in a recent statement, emphasizing that action should begin now rather than later.
The proposal includes several elements: flexible addresses that could be upgraded, a backup quantum-proof key, and a separate discussion about how to handle lost coins. Coinbase argues these steps would help bitcoin remain secure if quantum computing advances to the point of breaking current cryptographic standards.
Key Proposals
- Flexible addresses that can be updated as quantum-resistant algorithms emerge
- A backup quantum-proof key to protect funds
- A separate debate on the treatment of lost coins
Quantum computers today are not capable of breaking bitcoin's encryption, but researchers expect that could change in the coming decades. Coinbase's stance adds to a growing conversation among developers and institutions about proactive measures.
The debate over lost coins is particularly sensitive, as it involves decisions about whether to recover or repurpose bitcoin that has been inaccessible for years. Coinbase's proposal does not specify a solution but calls for a separate discussion.