Bitcoin Network Ready for Quantum Computing Threats - ETF Trends
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CoinShares Content Hub Bitcoin Network Ready for Quantum Computing Threats DJ Shaw February 18, 2026 Quantum computing remains a distant threat to bitcoin’s security, with new research from CoinShares showing institutional investors have little reason for immediate concern about the technology’s impact on bitcoin holdings. The debate around quantum computers potentially breaking bitcoin’s cryptographic security has intensified recently, but the practical risks remain far off, according to the report. Breaking the encryption that protects bitcoin would require quantum systems with millions of logical qubits, or roughly 100,000 times more powerful than today’s largest quantum computers. For investors in products like the CoinShares Bitcoin ETF (BRRR) and the CoinShares Bitcoin and Ether ETF (BTF), the report reframes quantum computing as a manageable engineering challenge rather than an existential crisis, according to CoinShares research published this week. Only about 1.7 million bitcoin sit in older address formats vulnerable to quantum attacks, or approximately 8% of the total supply, according to the report. Of that amount, just 10,200 bitcoin could potentially cause any market disruption if compromised. The remaining vulnerable coins sit in 32,607 individual addresses that would take decades to crack even under optimistic technological scenarios. Modern bitcoin addresses hide their public keys behind cryptographic hashes, remaining secure until funds move. This design gives bitcoin built-in protection that buys time for upgrades.
Quantum Computing Timeline Bitcoin can adopt quantum-resistant signature algorithms through a soft fork when needed, according to cryptographer Dr. Adam Back, cited in the CoinShares report. The network’s previous Schnorr signature upgrade demonstrated this adaptability. The Schnorr signature upgrade showed bitcoin’s ability to implement new cryptographic standards without disrupting the network, according to the report. This same upgrade pathway could be used to introduce quantum-resistant signatures when the technology matures. Cybersecurity firm Ledger estimates cryptographically relevant quantum computers may not emerge until the 2030s or later. Current quantum systems would need to become exponentially more powerful, between 10,000 to 3 million times better, to pose real-world threats. The report notes quantum computing cannot alter bitcoin’s fixed 21 million supply cap or bypass the proof-of-work mining system. Rather than representing a vulnerability, quantum risks reflect a foreseeable technical consideration with clear solutions already outlined in bitcoin improvement proposals. For more news, information, and analysis, visit the Coinshares Content Hub. bitcoin miningBitcoinsBRRRBTFCoinshares Content Hubquantum computing Earn free CE credits and discover new strategies Email*By signing up, you're opting into our communications, subject to our Privacy Policy.