Project Eleven Raises $6 Million to Secure Bitcoin Against Quantum Computing Threats

Project Eleven Raises $6 Million for Quantum-Resistant Crypto Solution

Introduction

Project Eleven, a firm specializing in the development of post-quantum cryptography, has successfully raised $6 million in funding. The organisation’s core objective is to protect Bitcoin and other digital currencies from potential future threats posed by quantum computing. This revelation was communicated in an announcement made on Thursday, and it signifies Quantonation’s maiden venture into the crypto sphere.

Details of the Funding

As the funding round came to a close, Variant Fund and Quantonation emerged as the leading co-investors among others. Alex Pruden, CEO of Project Eleven, shed light on the implications of the funding, stating that this will enable the firm to develop the necessary tools, establish standards, and create the relevant ecosystem required to keep digital assets safe in a post-quantum era.

The Quantum Threat

Data referenced by Project Eleven from Eleven Labs and YCharts presents a vivid picture of the quantum threat to Bitcoin. They stated that there are currently over ten million Bitcoin addresses with a non-zero balance and an exposed public key. These are at risk of a potential quantum attack, putting 6,262,905 BTC, worth about $648 billion, in harm’s way.

Project Eleven’s Solution

Step up Yellowpages, the company’s first cryptographic registry. This innovative creation is designed to enable users create quantum-resistant proof linking their current Bitcoin addresses to new, secure ones without requiring on-chain activity. The registry will serve as a fail-safe should quantum computers compromise the existing Bitcoin keys. Pruden also stated that the Project Eleven team had positive talks with Bitcoin Core developers concerning potential upgrades in the future.

Initiating Protective Measures Early

Despite arguments from some quarters deeming the quantum threat as a theoretical risk, many stakeholders take it very seriously. For instance, the US National Security Agency has set a goal of making all National Security Systems quantum-resistant by 2035. In line with this objective, new acquisitions must be quantum-resistant by 2027, while legacy gear will be phased out before 2031.

Practical and Theoretical Quantum Threats

There is an ongoing debate on whether the quantum threat is practical or merely theoretical. Some believe that it exists only in theory and hence does not warrant dedicate resources for its mitigation. However, others, like Project Eleven, consider it a genuine risk that should be addressed early amply evidenced by the funding that the startup has just acquired for post-quantum cryptographic solutions.

Expert Opinions on Quantum Threat

In 2020, Rand, a US nonprofit and global policy think tank, surveyed experts on the quantum threat. In its report, it estimated that a cryptography-breaking quantum computer would emerge around 2033, but it highlighted that development could occur earlier or much later, with the range starting from 2027. In 2025, Google managed to reduce the requirement to break RSA-2048 from 20 million to about 1 million noisy qubits operating for one week, still beyond today’s capabilities, which hover around a few hundred stable qubits.

Timeline for Ensuring Quantum-Resistant Crypto

With the continuous development and growth of quantum computers and their possible threat to digital assets, there is an urgent need for post-quantum cryptography solutions. Therefore, the timeline for making encryption quantum-resistant is shrinking. Bitcoin and other digital currencies need to evolve and upgrade their systems to become quantum-resistant and maintain their security for their millions of users worldwide. In conclusion, as technology evolves and quantum computing continues to advance, it is evident that the underprepared may bear substantial loss. The right moves for Bitcoin, in this case, would involve active measures to protect against potential cryptography-breaking quantum computers. Proactive efforts to prevent such threats require initiatives like Project Eleven. Securing the future of cryptocurrency now will ensure it remains a viable, secure investment for generations to come.