Strategy wants to arm Bitcoin against quantum threats with a security plan

Strategy, the company of Bitcoin advocate Michael Saylor, wants to set up a special Bitcoin security program to prepare the network for the arrival of quantum computers. These extremely powerful supercomputers do not yet pose an immediate threat, but they do cause increasing concerns within the Bitcoin community.

Strategy puts security at the top of the agenda

Strategy, the largest listed Bitcoin holder in the world, announced yesterday during its earnings call that it is setting up a Bitcoin security program that responds to the possible risks of quantum computers. The company wants to join forces with the broader cyber and crypto security community.

Quantum computers are not seen as a direct threat, but as a technological risk that Bitcoin must prepare for in time. Saylor, the co-founder and chairman, emphasized that the network has faced doomsday scenarios in the past, and that this challenge, too, can be addressed with planning and collaboration.

Of course, yesterday’s attention was mainly focused on the quarterly figures. Strategy reported a net loss of $12.4 billion for the fourth quarter, mainly caused by the decline in the Bitcoin price.

MSTR shares fell 17 percent yesterday, but today the loss has been washed away with a gain of 19 percent. At the same time, Bitcoin is up almost 10 percent.

What are quantum computers and why are they a risk?

Quantum computers have been developed for decades, but are only now receiving serious attention. It is not simply about faster computers, but about a completely different type of machine.

Where classical computers calculate with zeros and ones, quantum computers work with qubits. They can assume multiple states at the same time, allowing certain mathematical problems to be solved much more efficiently. Quantum computers are unsuitable for many tasks, but they have a huge advantage in specific calculations.

There also lies the potential threat to Bitcoin. The network’s security is based on cryptography: complex mathematics that ensures that only the owner of a private key can spend Bitcoins.

With current computers it is practically impossible to crack such a key. A sufficiently powerful quantum computer could theoretically do this by drastically speeding up certain cryptographic calculations.

Crypto exchange Coinbase previously said that there are two risks. In the distant future, quantum computers could crack old Bitcoin addresses and disrupt the mining process.

Developments suddenly happen much faster

For years, quantum computing was mainly confined to laboratories. Machines were unstable, error-prone and hardly scalable. That picture has changed rapidly in recent years.

Large technology companies are now investing billions in quantum research. The number of qubits in working systems is growing and their quality is also improving.

A major turning point came in 2019, when Google reported that its quantum computer performed a specific task faster than a classical supercomputer ever could. Since then, quantum technology has been firmly on the long-term agenda of companies, governments, security services and now also of Strategy.