Ethereum cofounder Vitalik Buterin has warned that the cryptography protecting bitcoin, ethereum, and other digital assets could fail within the next few years, as concerns about quantum computing grow during a period of sharp market losses.
Bitcoin has fallen below $100,000, extending a month-long decline that has also pulled down ethereum and many other cryptocurrencies. Analysts warn that a $1 trillion market downturn is possible if the sell-off continues.
Speaking at the Devconnect conference in Buenos Aires, Buterin said that elliptic curve cryptography—the encryption method used to secure most blockchains—may be broken by quantum computers before the 2028 U.S. presidential election. His remarks were reported by DL News.
Quantum computing has moved higher on the crypto industry’s risk list after Google announced a new breakthrough last month, following Microsoft’s launch of a quantum-focused chip in February. Experts say these advances bring the industry closer to fault-tolerant quantum machines that could run Shor’s algorithm, a tool capable of breaking today’s blockchain encryption.
Quantum researcher Scott Aaronson wrote this month that it is now a “live possibility” that powerful quantum computers could arrive within a few years. Crypto investor Nic Carter also said the scale of the threat has created a sense of urgency.
While some experts caution against panic, they agree that the industry must prepare. Alex Pruden, chief executive of Project 11, said quantum computers “at sufficient scale will break crypto at the most fundamental level” and urged developers to take the issue seriously.
Warnings have also been issued directly to the bitcoin developer community. Théau Peronnin, head of quantum-resistant computing firm Alice & Bob, told Fortune that bitcoin will need to shift to stronger protections by 2030. “I wouldn’t hold my bitcoin,” he said, adding that quantum computers may become a real threat soon after.
The debate comes as the crypto market faces growing pressure from falling prices, with analysts split over whether the downturn reflects short-term volatility or deeper structural concerns.
