started · updated
Coinbase develops quantum-resistant custody for Bitcoin assets
Coinbase is redesigning its custody architecture to prepare for the potential threat posed by quantum computing to Bitcoin security. The company aims to create a flexible system capable of adapting to any post-quantum signature scheme that the Bitcoin network may eventually adopt.
Currently, Coinbase manages approximately $250 billion in digital assets for institutional clients, including BlackRock, primarily using Multi-Party Computation (MPC) technology. However, experts note that certain quantum-resistant methods, such as hash-based signatures, may lack the mathematical structure required for traditional MPC integration.
To mitigate this risk, Coinbase is exploring alternative solutions, including Hardware Security Modules (HSM). While HSMs are considered slightly less secure than MPC because the full key may temporarily exist in one physical location, they offer robust protection against physical attacks and strict code execution controls.
Entities
Bitcoin · BlackRock · Coinbase · Dan Boneh · Yehuda Lindell
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 2 SOURCES] Hash-based signatures may be incompatible with current Multi-Party Computation (MPC) methods because they lack necessary mathematical structures. phocapblockchain.net · news.trijo.co
- [● 2 SOURCES] Coinbase currently manages approximately $250 billion in digital assets for institutional clients, including BlackRock. phocapblockchain.net · news.trijo.co
- [○ 1 SOURCE] Coinbase is exploring Hardware Security Modules (HSM) as an alternative if Bitcoin adopts signature methods incompatible with MPC. news.trijo.co
- [● 2 SOURCES] There is no certainty regarding which post-quantum signature standard Bitcoin will use, and multiple standards may exist across different networks. phocapblockchain.net · news.trijo.co
- [● 2 SOURCES] Coinbase is redesigning its custody architecture to adapt to any post-quantum signature scheme Bitcoin may adopt. phocapblockchain.net · news.trijo.co