The post Quantum Computing Threats Prompt Debate on Freezing Satoshi Nakamoto’s Vulnerable 1 Million Bitcoin Holdings appeared on BitcoinEthereumNews.com.

Quantum computing poses unprecedented threats to Bitcoin, reigniting discussions on the necessity of freezing Satoshi Nakamoto’s 1 million BTC for network protection. As quantum technology advances, security vulnerabilities in Bitcoin’s foundational transaction methods could compromise the cryptocurrency’s integrity and user trust. “If attackers develop quantum capabilities, the early transaction formats of Bitcoin, especially P2PK, will be primary targets,” warns Emir Sirer, CEO of Ava Labs. Explore the implications of quantum computing on Bitcoin’s security and the controversial debate over freezing Satoshi’s 1 million BTC to shield the cryptocurrency’s future. Examining the Vulnerability of Satoshi’s Holdings in the Era of Quantum Computing The concern regarding Satoshi Nakamoto’s 1 million BTC being vulnerable stems from the original pay-to-public-key (P2PK) outputs that are less secure compared to contemporary transaction formats. The P2PK format, now largely obsolete, reveals the owner’s public key directly on the blockchain, which could be easily compromised if quantum computers prove powerful enough to reverse-engineer private keys from public keys. The Evolution of Transaction Security: P2PK vs. P2PKH With the introduction of the pay-to-public-key-hash (P2PKH) model, which conceals the public key until a transaction occurs, the security landscape for Bitcoin significantly improved. However, the transition to this system did not retroactively secure early P2PK transactions, leaving them exposed. Experts caution that as quantum computing technology progresses, the attacks on P2PK outputs could transform from theoretical risks into real threats, necessitating immediate discussion within the community. Assessing the Feasibility of Freezing Satoshi Nakamoto’s Coins Freezing Satoshi’s holdings is theoretically possible but practically challenging. This would require a protocol change, likely initiated through a Bitcoin Improvement Proposal (BIP), to classify specific unspent transaction outputs (UTXOs) as unspendable. Garnering consensus within the decentralized community poses a significant hurdle, given Bitcoin’s historical aversion to changes that could compromise its core principles. Technical Pathways: Soft…

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Filed under: News - @ December 10, 2024 10:22 am