Big Firms Pledge $15M to Protect Bitcoin from Future Quantum Computers

Nine of the biggest names in the Bitcoin world just teamed up to protect the cryptocurrency from a future threat: super-powerful quantum computers.

The group, called the Bitcoin Security Consortium, includes major players like BlackRock, Coinbase, Strategy, Galaxy, and Fidelity Digital Assets. Together, they're pledging $15 million over three years to fund research that keeps Bitcoin safe.

Here are the key facts:

• $15 million total pledged over three years
• Nine founding companies are involved
• The money is not pooled — each company decides on its own which developers or researchers to fund
• The group promises not to force changes to Bitcoin's code

So what's the quantum threat? Bitcoin uses a type of math-based security called cryptography (a system of codes that proves you own your coins). Today's normal computers can't break it. But a quantum computer (a next-generation machine that solves certain problems millions of times faster) could theoretically crack the codes and steal funds.

The good news: that day isn't here yet. But experts think it's getting closer. Some researchers estimate a real quantum threat, nicknamed "Q-Day," could arrive as early as 2029. Worryingly, one estimate says about 35% of all Bitcoin currently sits in wallets that could be vulnerable to such an attack.

The solution is post-quantum cryptography — new codes designed to stay secure even against quantum machines. This is exactly what the consortium wants to fund.

Separately, Galaxy announced its own $5 million grant program two days earlier, backing developers building quantum-resistant tools and forming an advisory council with university experts.

Why do these giant firms care? Because they hold enormous amounts of Bitcoin. Strategy owns more Bitcoin than any other public company, and BlackRock runs a Bitcoin ETF (a fund that lets regular investors buy Bitcoin exposure through the stock market) worth billions.

In short: these companies want Bitcoin to stay safe for decades, so they're paying now to protect it from a threat that may still be years away. Upgrading Bitcoin's security could take years, so starting early makes sense.

This is an AI-generated summary. Read the original article at: https://decrypt.co/374145/blackrock-coinbase-strategy-15m-quantum-proof-bitcoin