BlackRock Adds 'Quantum Computing Threat to Bitcoin Security' to IBIT Risk Disclosure

Minseung Kang

Summary

BlackRock specified in a document submitted to the SEC that quantum computing technology could weaken Bitcoin's encryption structure.
BlackRock stated that quantum computing could theoretically facilitate private key decryption and unauthorized wallet access.
The amended filing also mentioned various risks such as the FTX collapse and energy consumption.

Global asset manager BlackRock has stated that future quantum computing technology could threaten Bitcoin's security framework.

According to cryptocurrency specialist media BeInCrypto on the 10th (local time), BlackRock specified in an amended S-1 document submitted to the U.S. Securities and Exchange Commission (SEC) on the 9th that "advancements in quantum computing technology could weaken Bitcoin's encryption structure in the future."

BlackRock stated, "Although quantum computing is still in its early stages, rapid advancements in this technology could open up possibilities for security breaches such as private key decryption or unauthorized wallet access."

However, it is explained that this reflects a theoretical possibility. The media added, "In ETF disclosures, it is standard procedure to specify all possibilities regardless of the likelihood of the risk occurring."

Meanwhile, the amended filing also included risk factors such as the FTX collapse, energy consumption, mining concentration, fork possibilities, and regulations.

BTC