Saylor Unmasks the Truth Behind Bitcoin’s Quantum Panic

Michael Saylor, executive chairman of Strategy (MSTR), has debunked yet another fear around Bitcoin — this time regarding quantum computers. Saylor claims all the hype about a quantum threat is nothing more than a marketing stunt by sellers of “quantum yo-yo tokens.”Image Source: CNBCIn an interview with CNBC on June 6, the well-known Bitcoin maximalist didn’t mince words. According to him, the buzz around quantum computing and its supposed impact on Bitcoin security is driven by people who want to sell you another token with a flashy name.Research company Project Eleven is adding fuel to the fire, confirming that more than 10 million Bitcoin addresses have open public keys. When Bitcoins are sent, the public key becomes visible on the blockchain. This is normal for network operation, but theoretically gives quantum computers a clue for hacking — they could try to calculate the private key from the public key.Project Eleven estimates that over 6 million bitcoins could be at risk if quantum machines ever become powerful enough to crack Bitcoin’s elliptic curve cryptography (ECC).Sounds scary? Saylor thinks otherwise. Even if Google (GOOG) or Microsoft (MSFT) were to create a quantum computer capable of breaking modern cryptography, he argues they would never release it. Why? Because it would destroy their own businesses, the banking system, and even the U.S. government.“Google and Microsoft aren’t going to sell you a computer that cracks modern cryptography because it would destroy Google and Microsoft and the US Government and the banking system.”
— Michael SaylorMicrosoft’s quantum Majorana 1 chip. Source: MicrosoftWhat if the quantum threat does materialize? Saylor has a simple answer: Bitcoin will simply be updated. Just like Microsoft, Google, and the U.S. government do, so will Bitcoin developers. He confidently stated:“The answer is simple: update the hardware and software of the Bitcoin network. We’ll just update the software.”According to Saylor, there is a much greater chance — 10,000 times higher — of losing Bitcoins to a phishing attack than to quantum computers. He emphasized that Bitcoin is “the most difficult system in the universe to hack,” and that hackers are much more likely to breach banking systems, Google, or Microsoft accounts, as these are orders of magnitude less protected.Meanwhile, Project Eleven hasn’t limited itself to theoretical speculation. In April, the company launched a “Q-Day Prize” contest to see who can crack the most Bitcoin keys using a quantum computer within a year. The competition aims to determine how relevant the quantum threat is to Bitcoin and to find quantum-resistant solutions for long-term protection.The QDay Prize event. Source: qdayprize.comAccording to current estimates, it would take about 2,000 logical qubits (with error correction) to crack a full 256-bit Bitcoin ECC key. IBM’s Heron chip and Google’s Willow are now capable of handling 156 and 105 qubits, respectively — a far cry from a real threat to Bitcoin, but enough to keep the conversation going.Saylor is not particularly impressed with these numbers. His confidence in Bitcoin’s invulnerability remains unshaken, and he continues to consider quantum fears as just another way to capitalize on investor panic.Get Started on eToroeToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong.