The word "blockchain" once conjured up images of something speculative, unknown and highly complex. But while it may still be beyond the ability of the average internet user to explain what a blockchain is or how it works, enterprise and industry leaders have already begun to apply the technology to a wide range of use-cases, and more are emerging by the day.
However, just as the utility of the blockchain is beginning to make itself known on a grand scale, so too have new problems begun to emerge.
The security of blockchain protocols like Bitcoin rely on an Elliptic Curve Digital Signature Algorithm (ECDSA). This algorithm generates the public and private keys that allow cryptocurrency holders to share their wallet address and store their coins. Public keys are shared with other users, essentially acting as a bank account number to receive funds. Private keys give access to the funds stored inside the bank account, and these are kept solely in the control of the owner.
Public keys can be derived from a private key, but private keys cannot be derived from a public key. This means no one can "guess" another user's private key, ensuring a user's funds are safe and secure. The reason this works is because modern computers are unable to generate the computation power required to "break" the algorithm and reveal the private key.
But... this could change very soon.
In 1994, the mathematician Peter Shorr published a quantum algorithm that described a method of breaking the assumptions of the most complex security algorithms, including those used by blockchain networks today. In 1994, the computing power required to apply this quantum algorithm didn't exist - nor do they exist today. But industry experts believe quantum computers - computers exponentially more powerful than those we have today - could be widespread by as soon as 2030, by which point they are expected to spearhead a multi-billion dollar industry.
Unlike modern hardware, quantum computers will be able to derive a user's private key from their public key. This means that unless blockchain networks take the necessary steps to beef up their security algorithms, everyone's cryptocurrency wallets could be completely exposed by the end of the decade.
Continue reading: https://www.techtimes.com/articles/275309/20220511/quantum-safe-blockchains-what-are-they-and-how-do-they-work.htm
However, just as the utility of the blockchain is beginning to make itself known on a grand scale, so too have new problems begun to emerge.
The security of blockchain protocols like Bitcoin rely on an Elliptic Curve Digital Signature Algorithm (ECDSA). This algorithm generates the public and private keys that allow cryptocurrency holders to share their wallet address and store their coins. Public keys are shared with other users, essentially acting as a bank account number to receive funds. Private keys give access to the funds stored inside the bank account, and these are kept solely in the control of the owner.
Public keys can be derived from a private key, but private keys cannot be derived from a public key. This means no one can "guess" another user's private key, ensuring a user's funds are safe and secure. The reason this works is because modern computers are unable to generate the computation power required to "break" the algorithm and reveal the private key.
But... this could change very soon.
In 1994, the mathematician Peter Shorr published a quantum algorithm that described a method of breaking the assumptions of the most complex security algorithms, including those used by blockchain networks today. In 1994, the computing power required to apply this quantum algorithm didn't exist - nor do they exist today. But industry experts believe quantum computers - computers exponentially more powerful than those we have today - could be widespread by as soon as 2030, by which point they are expected to spearhead a multi-billion dollar industry.
Unlike modern hardware, quantum computers will be able to derive a user's private key from their public key. This means that unless blockchain networks take the necessary steps to beef up their security algorithms, everyone's cryptocurrency wallets could be completely exposed by the end of the decade.
Continue reading: https://www.techtimes.com/articles/275309/20220511/quantum-safe-blockchains-what-are-they-and-how-do-they-work.htm
