BlackRock and a certain exchange establish a $15 million Bitcoin quantum defense fund

BlockBeats news, on July 24, BlackRock, an exchange, Strategy, Anchorage Digital, ARK Invest, Block, Blockstream, Fidelity Digital Assets, and Galaxy formed the Bitcoin Security Consortium, pledging a total of 15 million US dollars over three years to support Bitcoin security research and open-source development focused on quantum computing defense.

The consortium does not hold or distribute funds; each member will directly select the developers and researchers they wish to fund. The consortium stated it will not direct Bitcoin development, nor will it make statements on protocol changes. Mike Schmidt from the non-profit organization Brink, funded by developer grants, will coordinate related work as a volunteer.

There are currently no quantum computers capable of breaking Bitcoin’s cryptography. About 6.9 million BTC, valued at 45 billion US dollars, are stored at addresses that could be affected should such quantum computers appear. Addressing this risk would require coordination among wallets, exchanges, miners, and users.

The related work includes proposals such as BIP 360, which is designed as a new output type to limit public key exposure, in combination with post-quantum signature schemes. Robert Mitchnick, Head of Digital Assets at BlackRock, said Core developers are undertaking important work, and the organization will provide more funding to ensure Bitcoin’s long-term security.