Hong Kong, the international banking giant – Shanggai Banking Corporation (HSBC) announced its first successful test of quantum computing in its trading application on Thursday.
Researchers at HSBC used the Quantum Computer Processor as part of the algorithmic trading process. This is a transaction method that involves running transactions using predefined rules and finding the possibility of filling out over-the-counter (OTC) bond orders at the desired price.
HSBC announced that quantum processing has brought about a 34% improvement in bond price forecasts and the likelihood that it will fill orders without slipping. “We’ve been working hard to get the most out of our business,” said Philip Intallura, group head of Quantum Technologies at HSBC.
“Given the trials have produced positive results with current quantum computing hardware, we are confident that we will not be far away in the future, but in the cusp of the new frontier of financial services.”
Cryptocurrencies rely on encryption standards that can be broken by strong enough quantum computers, causing debate among blockchain developers about the timeline of threats and the transition to quantum-resistant encryption.
The share of Bitcoin supply, which is vulnerable to quantum attacks. sauce: Cointelegraph
Developers remain divided into quantum threats
Blockchain developers remain split when Quantum Computer supports cryptocurrencies and cracks modern encryption methods used across bank, military and consumer financial applications.
The lower end of the range predicts “Q-day”. Or, the moment when a sufficiently strong quantum computer cracks the latest encryption algorithm around 2030, five years later, and five years later, many developers fear quantum advantage will occur in 2035.
However, others like Bitcoin (BTC) developer Adam Back say that when it happens, quantum advantage is distant for decades.
https://www.youtube.com/watch?v = zeeru9ftbc8
In November 2024, researchers at Shanghai University rekindled fear among the crypto community, where quantum computers cracked modern crypto algorithms in a series of tests.
However, a closer look at the experiment reveals that quantum computers can break 22-bit keys. It turns out that this is one digit lower than the 892-bit record set by the classic computer.
In the context, the latest encryption keys used in RSA encryption range from 2,048-bit to 4,096-bit, and can be periodically doubled to advance quantum processing power.