The Looming Threat of Quantum Computing: Expert Insights from Naoris Protocol’s CEO
As the world becomes increasingly reliant on digital technologies, the threat of quantum computing to our financial systems and security protocols can no longer be ignored. 
According to David Carvalho, founder and CEO of Naoris Protocol, state actors are already preparing to utilize quantum computing for potential attacks, making it essential for the industry to take immediate action.
Understanding the Risks of Quantum Computing
The threat posed by quantum computers is no longer theoretical, and the Securities and Exchange Commission (SEC) has recently sounded the alarm about the dangers of this technology. In a report, the SEC highlighted the potential consequences of quantum computing, including the compromise of traditional security protocols and blockchains. Carvalho emphasizes that the timeline for the emergence of a cryptographically relevant quantum computer is still uncertain, but regulators are targeting 2028 as a mandatory deadline for quantum resilience.
Carvalho explains that the migration to post-quantum cryptography will require a significant overhaul of our digital infrastructure, including public key infrastructure (PKI), hardware security modules (HSMs), code signing, transport layer security (TLS), virtual private networks (VPNs), blockchains, and banking rails. This process will take years of development, testing, and coordination, and the consequences of not being prepared will be severe, including identity theft, transaction forgery, and compromised signed updates.
The Vulnerability of Blockchain Networks
Blockchain networks are particularly vulnerable to quantum computing attacks, as most rely on elliptic curve digital signature algorithm (ECDSA) or Edwards-curve digital signature algorithm (EdDSA) for signatures. Carvalho notes that Shor’s algorithm makes these easy to destroy once quantum computers become available, allowing attackers to empty wallets, fake validator identities, and hijack bridges. The problem of address reuse exacerbates this risk, and Bitcoin’s unspent transaction outputs (UTXOs) are particularly exposed.
Carvalho also highlights the risks of Harvest-Now-Decrypt-Later (HNDL) attacks, where state actors collect encrypted data for future decryption. This strategy is already being employed, and nation-states with resources and patience are accumulating encrypted data, including medical records, financial transactions, and confidential information.
Preparing for the Quantum Threat
While the threat of quantum computing may seem daunting, Carvalho emphasizes that there are steps the industry can take to prepare. He notes that post-quantum solutions can act as overlays, sitting on top of existing infrastructure and providing a decentralized trust network. This approach allows for a more practical transition for institutions with large legacy systems.
Carvalho also stresses the importance of engaging with regulators and working groups on quantum computing risks. He notes that there is active participation in public policy and standards discussions around crypto agility and decentralized security, and the quantum-resistant blockchain space has gained recognition in regulatory circles.
In conclusion, the threat of quantum computing is real and imminent, and it is essential for the industry to take immediate action to prepare. By understanding the risks and taking a proactive approach to post-quantum cryptography, we can mitigate the potential consequences of quantum computing and ensure the security of our financial systems and digital infrastructure. For more information, visit https://crypto.news/interview-quantum-computing-threat-is-already-here-naoris-protocol-ceo/
