The G7 Central Bank Quantum Technology Working Group releases its first report, warning of long-term risks to financial cryptography systems.

According to ChainCatcher, the first public report released by the G7 Central Bank Quantum Technology Working Group (QTWG) points out that quantum computing technology may have a profound impact on the global financial system, especially by bringing structural challenges in the areas of data encryption and cybersecurity. The working group was established in 2025 and jointly led by the central banks of France and Canada, with members including the Federal Reserve, European Central Bank, Bank of England, Bank of Japan, and other major central banks such as those of Germany and Italy.

The report notes that, although no quantum computers capable of breaking cryptography currently exist, the industry generally believes there is a rising likelihood that they may appear within the next decade, posing a potential risk to current financial infrastructure reliant on traditional encryption algorithms. One core risk is known as the “harvest now, decrypt later” strategy, that is, the long-term storage of encrypted financial data today with the intention of decrypting it in the future once quantum computing capabilities mature, which could threaten the long-term data security of the financial system.

The report recommends that financial institutions in various countries start to systematically review their dependencies on cryptographic systems, gradually assess the feasibility of migrating to post-quantum cryptography, and strengthen cross-institutional coordination to reduce systemic risk exposure. On the opportunity side, quantum computing is expected to enhance financial institutions’ computational power in areas such as risk modeling, portfolio optimization, macroeconomic forecasting, and stress testing, although actual application still depends on the maturity and large-scale development of the technology.

Analysts believe that this report marks the start of a systematic inclusion of quantum technology in the G7 central banks’ financial stability assessment frameworks and that, in the future, it may drive long-term upgrades to global financial infrastructure in both encryption and computing architecture layers.