Project Eleven, a quantum computing research company, has launched the Q-Day Prize. There is a $ 1 Bitcoin (BTC) reward for the first team of researchers who can crack Bitcoin's elliptic curve cryptographic (ECC) key using a quantum computer. The challenge is designed to expose potential weaknesses in Bitcoin's security.
Bitcoin's ECC encryption is the foundation for its security. Shor's algorithm-powered quantum computers can efficiently factor large numbers. Thus, these computers can hypothetically shatter the BTC cryptography. This innovation poses a significant threat to Bitcoin and other blockchain systems as quantum computers become increasingly influential.
The Q-Day Prize gives a 1 BTC incentive to the winning team that is capable of cracking a ‘toy version’ of Bitcoin's crypto security. The Project Eleven challenge will go on until April 5, 2026. It will safeguard more than US$500 billion worth of Bitcoin stored in vulnerable addresses. The company has identified more than 10 million Bitcoin addresses that are vulnerable to quantum attacks.
The Bitcoin community has begun researching possible solutions. One of the proposals is the Quantum-Resistant Address Migration Protocol (QRAMP). It calls for a network-wide transition to post-quantum cryptography. However, QRAMP needs a hard fork, and achieving consensus to make a change may not be easy.
A quantum startup, BTQ, has also proposed a different quantum-based solution, known as Coarse-Grained Boson Sampling (CGBS). This solution will substitute Bitcoin's Proof of Work with a quantum verification process. The only limitation is that it would also need a hard fork.
As quantum computing keeps evolving, the Q-Day Prize is an important reminder of crypto system vulnerabilities.