EU regulators — the European Banking Authority (EBA), European Insurance and Occupational Pensions Authority (EIOPA), and European Securities and Markets Authority (ESMA) — warned on Wednesday that advances in quantum computing could undermine the cryptography protecting blockchains. Previously, Google Quantum AI estimated that breaking the schemes used by many cryptocurrencies would require about 20 times fewer physical qubits than previously thought.

No quantum computer capable of such an attack exists yet

In a joint risk update, EBA, EIOPA, and ESMA noted that quantum technologies could weaken systems securing transactions, communications, and databases. However, a computer capable of carrying out such an attack does not currently exist. For cryptocurrency holders, the main risk is the potential calculation of a private key from a public key, leading to unauthorized transaction approval.

Bitcoin developers proposed limiting spending of non-migrated funds

In February, Bitcoin developer Jameson Lopp and five co-authors proposed a phased transition away from the network's current signature schemes and to restrict spending methods for funds that have not migrated, five years after the proposal's activation. The initiative has not been adopted.

Ethereum targets quantum attack protection by December 2029

The Ethereum Foundation aims to achieve resistance to quantum attacks at the execution, consensus, and data levels by December 2029.