IS QUANTUM COMPUTING AN EXISTENTIAL THREAT TO BLOCKCHAIN TECHNOLOGY?

Page 1

Copyright © Blockchain Council

www.blockchain-council.org

1


Is Quantum computing an existential threat to Blockchain Technology? There is a lot of euphoria surrounding Bitcoin and other cryptocurrencies at the moment, and this has translated to exponential rises in prices over the last year. A lot of the hype surrounding cryptocurrencies is justified as nearly every industry in the world can benefit from blockchain technology in one form or another. But amidst all of the excitement, it is essential to evaluate whether the underlying technology is resistant to other emerging technologies, namely quantum computing.

Copyright Š Blockchain Council

www.blockchain-council.org

2


Since the fundamental of blockchain technology is focused on ensuring security in a decentralized fashion, let’s take a look at how quantum technology changes the equation when it comes to security.

Copyright Š Blockchain Council

www.blockchain-council.org

3


How Blockchains work: Public Key Cryptography Public key cryptography relies on a pair of public and private keys to ensure secure, encrypted communication on an unsecured channel. Public key cryptography ensures that the message received by the receiver is untampered and also that the actual sender created it. For example, if two users Alice and Bob want to communicate with each other using public key cryptography, they both can generate public and private keys.

Copyright Š Blockchain Council

www.blockchain-council.org

4


As the name suggests, public keys are broadcasted to the entire network while private keys are kept secure. Now, if Alice wants to send Bob an encrypted message, she can encrypt the message using Bob’s private key and digitally sign the message using her private key. This ensures that the message received by Bob can only be decrypted by him and the digital signature proves that Alice was the creator of that message.

Copyright Š Blockchain Council

www.blockchain-council.org

5


The security aspect of this cryptography scheme comes from the fact that given the public key, it is practically impossible to come up with the corresponding private key. In other words, there is no way other than guessing and checking different private keys. With the current computing resources we have, it would take an extraordinarily long time to find the correct private key.

Copyright Š Blockchain Council

www.blockchain-council.org

6


. In

other words, there is no way other than guessing and checking different private

keys. With the current computing resources we have, it would take an extraordinarily long time to find the correct private key. Assuming that a classical computer tested a trillion keys a second, it would take up to 1.09 x 1019 years to guess the correct answer. To put numbers into perspective that is roughly about 785 million times longer than the age of the universe (approximately 14 billion years) because public key cryptography relies on prime numbers for key generation.

Copyright Š Blockchain Council

www.blockchain-council.org

7


The Quantum Threat As it exists, the current paradigm for digital security relies heavily on the sanctity of the assumptions underlying in the previous section. If quantum computers were to make our current security framework obsolete, it would also be a disaster not only for public key cryptography but for all other financial and banking systems as they exist today.

Copyright Š Blockchain Council

www.blockchain-council.org

8


The quantum computing threat comes from the fact that quantum computing takes advantage of quantum bits or “qubits” that can exist in any superposition of values between 0 and 1 and can, therefore, process much more information than just 0 or 1, which is the limit of classical computing systems. As a result, quantum computers can handle many orders of magnitude more than traditional computers.

Copyright © Blockchain Council

www.blockchain-council.org

9


Currently, however, quantum computers can only work on a limited number of highly specific applications. Companies like Google and IBM are working on their implementations of quantum computers which are said to be a 100 million times faster than classical modes of computation.

Copyright Š Blockchain Council

www.blockchain-council.org

10


How Blockchain will keep up If in the future, the threat of quantum computers becomes more pronounced to public key cryptography, there are many changes that blockchains can implement to become quantum resistant. Already, projects like the Quantum Resistant Ledger (QRL) have their implementation of a blockchain that will not be affected by the exponential increase in computational power of quantum computers.

Copyright Š Blockchain Council

www.blockchain-council.org

11


QRL ensures quantum resistance by making sure that private keys are generated in a very complicated way that relies on hash-based cryptography compared to current public key cryptography. So far as the consensus algorithm of Bitcoin, Proof of Work is concerned, it could easily be upgraded using a hard fork that has been used several times in the past. Since quantum computers can make many hash functions obsolete, the underlying Blockchain of many tokens would have to change their architecture fundamentally.

Copyright Š Blockchain Council

www.blockchain-council.org

12


Blockchain Council Certifications You can check out our certifications, and kick start your career in the Blockchain space today. ● ● ● ● ● ●

Certified Blockchain Expert Certified Blockchain Expertv2 Certified Blockchain Developer Certified Smart Contract Developer Certified Solidity Developer Certified Ethereum Developer

Copyright © Blockchain Council

www.blockchain-council.org

13


THANK YOU! Any questions? You can mail us at hello@blockchain-council.org Copyright © Blockchain Council

www.blockchain-council.org

14


Turn static files into dynamic content formats.

Create a flipbook
Issuu converts static files into: digital portfolios, online yearbooks, online catalogs, digital photo albums and more. Sign up and create your flipbook.