Galaxy Digital: Quantum Computing Poses a Real Threat to Bitcoin, But Is Far From an Existential Crisis

March 19, CoinDesk reported that Galaxy Digital Research Head Alex Thorn stated the quantum computing threat to Bitcoin is real but far from an existential crisis—investors should not confuse a long-term technical challenge with an imminent threat. On the threat front: A sufficiently advanced quantum computer could theoretically derive a private key from an exposed public key, enabling signature forgery and fund theft. Analysis from Project Eleven—a security firm focused on digital asset quantum risk—shows ~7 million bitcoins (valued at roughly $470 billion at recent market prices) qualify as “long-term exposed,” meaning their public keys have been exposed on-chain. However, Thorn emphasized most Bitcoin is not at direct risk now: Exposure only occurs with address reuse, custodians cutting corners, or funds stored in legacy-format addresses. On the response side: Thorn noted Bitcoin developers are advancing multiple solutions, including: - New address types relying on post-quantum cryptography; - Enabling users to move funds out of potentially vulnerable formats; - A phased restriction plan for “hourglass” dormant coins with permanently exposed public keys. “There’s far more progress underway than people realize,” Thorn said. “Developers are actively building the upgrade path.” For investors: Thorn advised quantum risk should be monitored but not used as a reason to avoid Bitcoin. “Quantum computing is a powerful, potentially disruptive tech—but that doesn’t mean every risk is immediate or insurmountable,” he added. “Bitcoin developers aren’t ignoring this; many are actively advancing related work.”