Can Quantum Computers Break Bitcoin? An Ethereum Researcher Just Told Big Holders to Prepare for Bunker Mode

Bitcoin Experts Warn of Quantum Resistance Threat

Threats to Bitcoin's Security

Bitcoin's security relies on preventing attackers from reversing the process of deriving the public key from the private key. However, older addresses reveal the public key from the time they first received coins, while newer formats can keep the public key hidden until the owner makes a transaction.

NIST Deadline

NIST plans to discourage current signature methods after 2030 and ban them after 2035. This deadline is approaching, giving Bitcoin a narrow window to adopt quantum-resistant upgrades via BIP-360.

Ethereum Foundation's Warning

Justin Drake, a researcher at the Ethereum Foundation, advised the crypto community to 'calmly begin planning for 'bunker mode'.' This refers to a mass move of cryptocurrencies to new addresses that keep their public keys hidden.

Risk of Classical Break

Drake highlighted the potential threat of artificial intelligence that can solve complex mathematical problems quickly, suggesting the danger may arrive in 'months, not years.' He feared such models could find a new way to recover private keys from public keys using regular computers.

Impact on Bitcoin

About 7 million BTC worth $580 billion sit in exposed public-key addresses, representing roughly one-third of Bitcoin's total supply. Drake pointed out that attackers could target around 20,000 early addresses linked to Satoshi Nakamoto, each holding 50 BTC, for a total of about 1 million BTC valued at roughly $82 billion.

Expert Insights

Michael Gutkin, vice president of research at crypto security firm Fireblocks, clarified that Drake's scenario represents a 'classical break,' not a quantum one. He added that no one has successfully demonstrated such an attack, and the likelihood of one remains a matter of debate.