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El Salvador Shields $678M From Quantum Threat


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El Salvador has transferred the national bitcoin to multiple governor on Friday as a hedge against the threat of encryption in the future, according to official jobs and Blockchain records.

The country moved 6,274 BTC – approximately $ 678 million at current prices – from one address and 14 separate addresses, with each new address bearing up to 500 BTC.

The portfolio division to reduce exposure

Based on reports from the Bitcoin office, this step was aimed at reducing the effect of any future quantitative penetration.

The officials said the shift was a simple defensive step. Once the Bitcoin address is spent, the general key of the address becomes visible on Blockchain.

This public key, warns people, the goal will be if quantum machines will reach the ability to solve the elliptical curve encoding.

According to the Eleven project, 6 million Bitcoin – at a value of $ 650 billion – can be exposed if this capacity is ever.

Mathematics behind anxiety is clear: Bitcoin’s special keys use 256 -bit values, and the current quantum systems that operate the Shor algorithm have not even crackdown.

Quantitative risks are largely theoretical

Experts say practical quantum attacks on Bitcoin are not imminent. Eleven and other researchers confirm that the threat is still theoretical at the present time.

No general computer has explained the power to threaten modern encryption.

El Salvador moves Bitcoin into 14 separate addresses. Source: Mempool.space

Michael Sailor commented in June that the warnings about quantum attacks are exaggerated and that if a real threat appears, promotions will be carried out to the Bitcoin program and the ecosystem of devices will be implemented.

The intermediary follows a simple logic: programs and devices can be changed; The encryption can be upgraded. This does not make the risks zero. It only places the danger below the schedule of most observers.

BTCUSD is now trading at $ 108,720. Chart: Tradingview

The technical point that leads this procedure is clear and direct. When the coins leave a title, Blockchain reveals the public key connected to the special key to sign this transaction.

If a strong enough computer appears at a later time, this public key can be used, in theory, to extract the private key and drain the address.

By publishing the money through 14 titles, El Salvador reduces the maximum amount of the amount offered if any one portfolio is penetrated after spending.

Image: Utimaco

What does this mean for others holders

The guards and their adult holders may notice low -cost steps. This step is small in the operational cost but large in symbolism.

Other governments, exchanges and adult holders continue to see the encryption progress; The division of large holdings is one of the direct techniques that they can use without changing the work of Bitcoin itself.

Distinctive image from Unsplash, tradingvief chart

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