The DeFi Report - Sponsor Image The DeFi Report - Industry-leading crypto research trusted by finance pros. Friend & Sponsor Learn more

Paradigm Proposes PACTs to Address Bitcoin's Quantum Vulnerabilities

The proposed solution still calls for irrevocably burning the funds of quantum-vulnerable addresses that fail to take action.
Paradigm Proposes PACTs to Address Bitcoin's Quantum Vulnerabilities
Listen
0
0
0:00 0:00

Subscribe to Bankless or sign in

Paradigm Paradigm General Partner Dan Robinson Dan Robinson is proposing Public Address-Control Timestamps (PACTs) as a solution to allow quantum-vulnerable BTC addresses to recover their coins in the event a network fork freezes their coins.

What's the Scoop?

  • Quantum Workaround: In a newly published research paper, Paradigm's Dan Robinson advocates for the utilization of zero-knowledge proofs called PACTs that would allow BTC holders to secretly timestamp their knowledge of their private keys. Should Bitcoin Bitcoin enacts an emergency fork that disables spending from quantum-vulnerable addresses, users who generated a PACT before the arrival of "cryptographically relevant quantum computers" (CRQCs) could use the proof to reclaim access to their funds at any time.
  • Many Benefits: Users can generate PACTs offchain and anonymously, without revealing address ownership or moving funds. According to Robinson's paper, adopting PACTs now, "would help give holders as much time as possible to secure their coins against an emergency sunset, while allowing us to leave the more difficult decisions – including whether a sunset is necessary or desirable – until later."
  • Not Perfect: In order to recover the coins associated with a frozen quantum-vulnerable addresses, the rightful holder must generate a PACT before the arrival of CRQCs or enactment of an emergency fork. Holders who fail to take preventative action risk permanently losing access their coins.

Jack Inabinet

Written by Jack Inabinet

889 Articles View all      

Jack Inabinet is a Senior Analyst with a passion for exploring the bleeding edge of crypto and finance. Prior to joining Bankless, Jack worked as an analyst at HAL Real Estate where he conducted market research and financial analysis for commercial real estate development and acquisition activities in the Seattle region. He graduated from the University of Washington’s Michael G. Foster School of Business.

No Responses
Search Bankless