Burning quantum-vulnerable Bitcoin sparks debate

Jameson Lopp, chief security officer at Bitcoin custody firm Casa, has proposed burning Bitcoin (CRYPTO:BTC) vulnerable to quantum computing attacks as a solution to safeguard the network’s integrity.

In a March 16 article, Lopp argued against allowing quantum computers to recover lost Bitcoin, citing concerns over censorship resistance, transaction immutability, and conservatism within the protocol.

Lopp emphasised that permitting quantum recovery would lead to wealth redistribution.

“Allowing quantum recovery of Bitcoin is tantamount to wealth redistribution. What we would be allowing is for Bitcoin to be redistributed from those who are ignorant of quantum computers to those who have won the technological race to acquire quantum computers,” he explained.

He added that such actions could harm the security of the Bitcoin network and destabilise its ecosystem.

The debate over quantum computing’s threat to Bitcoin remains contentious.

While some experts believe the technology’s impact on encryption is decades away, others warn of imminent risks.

The discussion intensified after researchers at Shanghai University claimed in 2024 that they broke encryption standards using a quantum computer.

However, critics later clarified that the experiment only broke a 22-bit key, far below the modern encryption standards of 2048 to 4096 bits.

Lopp also highlighted ethical concerns surrounding quantum recovery.

He argued that allowing quantum computers to exploit vulnerable addresses undermines property rights and erodes trust in Bitcoin as a secure store of value.

“If quantum attackers can exploit vulnerable addresses, confidence in Bitcoin would collapse,” he warned.

Burning vulnerable coins could prevent economic disruption caused by large-scale theft and liquidation of recovered funds.

Lopp suggested implementing a migration window for users to upgrade their wallets with quantum-safe cryptography before initiating coin burns.

The proposal has sparked philosophical debates about Bitcoin’s principles and practical implications for its future.

“Lost coins make everyone else's coins worth slightly more. Quantum recovered coins only make everyone else's coins worth less,” Lopp concluded.

At the time of reporting, the Bitcoin (BTC) price was $83,620.59.