Quantum computing represents an unprecedented disruption in the digital world. As this technology advances, it is essential for fintechs to invest in research and development to stay ahead of potential threats. Collaboration with regulatory bodies and quantum security experts will be key to ensuring a safe and efficient transition.
According to a report by the U.S. National Security Agency (NSA), it is estimated that by 2030 many critical infrastructures must have implemented quantum-resistant encryption. This involves a joint effort between governments, businesses, and universities to lead this transformation and build a stronger, more resilient ecosystem prepared for the challenges of tomorrow.
In the rapid evolution of the fintech ecosystem, security has always been a fundamental pillar. User trust depends on these platforms' ability to safeguard financial data, protect transactions, and prevent fraud. However, an unprecedented challenge is looming: the threat of quantum computing to traditional encryption systems.
Advancements in quantum computing have jeopardized current cryptographic methods. Algorithms like RSA and ECC, which today protect millions of online transactions, could become obsolete in a matter of years. Fintechs, relying on encryption to protect digital identities, transaction validation, and data storage, find themselves in a race against time to adapt before this technological revolution exposes their systems.
According to an IBM report, a quantum computer with 4,000 qubits could break RSA-2048 in just a few hours. In comparison, current supercomputers would take thousands of years to perform the same task. Furthermore, a 2019 Google study demonstrated "quantum supremacy" by solving a problem in 200 seconds that would take the best supercomputer about 10,000 years to solve.
In this scenario, experts have begun developing solutions based on post-quantum cryptography, a set of algorithms designed to withstand attacks from quantum computers. Organizations like the U.S. National Institute of Standards and Technology (NIST) are already in the process of standardizing new security protocols that can shield future financial systems.
In 2022, NIST announced four final candidate algorithms for post-quantum cryptography: CRYSTALS-Kyber, CRYSTALS-Dilithium, FALCON, and SPHINCS+. These algorithms are being evaluated to become the security standards in the coming decade. Additionally, the possibility of implementing quantum key distribution (QKD) emerges, a method that uses principles of quantum mechanics to ensure communications that cannot be intercepted without detection.
However, the challenge for fintechs is even greater; their agility to adapt to new technologies could work in their favor, but they also face budgetary and regulatory limitations that could delay the transition. The change is not a question of whether it will happen but when fintechs need to start evaluating migration strategies toward post-quantum cryptography, collaborating with researchers, and participating in global quantum security initiatives.
The future of security in fintech is already written in quantum physics. Companies like ID Quantique and Toshiba have already implemented QKD networks in countries like Switzerland, China, and Japan. While some fintech startups have begun exploring these technologies, massive adoption is still in its infancy. Implementing quantum security not only involves changing algorithms but also rethinking IT infrastructure, training specialized talent, and ensuring compatibility with the global financial ecosystem.
Large banking institutions are already investing in pilot tests with quantum security. JPMorgan Chase, in collaboration with Toshiba, successfully tested a quantum communication network in 2022.
