Key Takeaways
- • The New York Post reports that quantum computing poses a growing threat to cryptocurrencies, digital assets and passwords, with crypto insiders saying the industry is "scrambling" to respond.
- • Crypto insiders believe "Q Day," when a quantum computer can crack Bitcoin's cryptography, may arrive sooner than expected, with AI accelerating progress toward it.
- • Bitcoin is down nearly 35% from its October 2025 high, Ethereum has fallen more than 50% since that month, and Solana and XRP are each down 65% from their 2025 highs, with some insiders attributing part of the decline to quantum risk pricing.
- • Nic Carter of Castle Island Ventures says decentralized networks struggle to coordinate upgrades, though quantum-resistant cryptography already exists and the challenge is adoption.
Summary
The New York Post reports that advances in artificial intelligence are accelerating the development of quantum computers capable of breaking the cryptography that secures cryptocurrencies, digital assets and passwords. The report followed an OpenAI claim that its system produced a solution to a 90-year-old math problem in 88 hours, which drew both excitement from researchers and concern from parts of the crypto industry.
Alex Pruden, CEO and co-founder of Project Eleven, an applied research and engineering lab, told the Post that AI is "rapidly increasing the rate at which the technical barriers are being overcome for quantum computers." Pruden said he expects quantum computers to arrive before artificial general intelligence. The article also notes that China unveiled a new quantum processor earlier this year that completed a specialized computing test in a few hundred seconds, a task the Chinese team estimated would take a leading conventional supercomputer billions of years.
The security concern centers on public-key cryptography, which relies on mathematical problems that classical computers cannot solve in practical time. For cryptocurrencies, those protections keep unauthorized parties from accessing coins. Crypto insiders describe "Q Day," the point at which a quantum computer can crack Bitcoin's cryptography, as potentially approaching sooner than expected.
Market conditions add context. According to the Post, Bitcoin is down nearly 35% from its October 2025 high, Ethereum has fallen more than 50% since that month, and Solana and XRP are each down 65% from their 2025 highs. Some crypto insiders attribute part of the decline, despite a friendlier regulatory environment, to investors pricing in quantum risk.
Nic Carter, partner at Castle Island Ventures, said the industry is scrambling but that changes are difficult on decentralized platforms, since developers, network operators, exchanges and wallet providers must coordinate upgrades. Centralized institutions can move more efficiently to new ledgers. Carter noted that quantum-resistant cryptography already exists and that the central challenge is adapting it to these networks and driving adoption. He said he remains optimistic that the industry will adapt.
Alex Pruden, CEO and co-founder of Project Eleven, an applied research and engineering lab, told the Post that AI is "rapidly increasing the rate at which the technical barriers are being overcome for quantum computers." Pruden said he expects quantum computers to arrive before artificial general intelligence. The article also notes that China unveiled a new quantum processor earlier this year that completed a specialized computing test in a few hundred seconds, a task the Chinese team estimated would take a leading conventional supercomputer billions of years.
The security concern centers on public-key cryptography, which relies on mathematical problems that classical computers cannot solve in practical time. For cryptocurrencies, those protections keep unauthorized parties from accessing coins. Crypto insiders describe "Q Day," the point at which a quantum computer can crack Bitcoin's cryptography, as potentially approaching sooner than expected.
Market conditions add context. According to the Post, Bitcoin is down nearly 35% from its October 2025 high, Ethereum has fallen more than 50% since that month, and Solana and XRP are each down 65% from their 2025 highs. Some crypto insiders attribute part of the decline, despite a friendlier regulatory environment, to investors pricing in quantum risk.
Nic Carter, partner at Castle Island Ventures, said the industry is scrambling but that changes are difficult on decentralized platforms, since developers, network operators, exchanges and wallet providers must coordinate upgrades. Centralized institutions can move more efficiently to new ledgers. Carter noted that quantum-resistant cryptography already exists and that the central challenge is adapting it to these networks and driving adoption. He said he remains optimistic that the industry will adapt.
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