Blockchain security company AmericanFortress has introduced a cryptographic solution designed to safeguard existing cryptocurrency wallets against potential future quantum computing threats, allowing users to retain their current funds, keys, and wallet addresses without any required changes.
The company claims this new scheme provides post-quantum protection for existing wallet addresses, in contrast to most other proposals that require users to rotate keys or generate new wallet addresses.
Zero-knowledge proofs at the core of the new approach
AmericanFortress detailed its proposal in a technical paper published on the Cryptography ePrint Archive. The scheme is compatible with seed-based hierarchical deterministic wallets used on Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and other major blockchains leveraging elliptic curve cryptography. As the paper has not yet undergone peer review, independent expert evaluation is pending.
The proposed method leverages zero-knowledge proofs derived from a wallet’s original seed phrase. With this approach, users continue signing transactions using their existing cryptographic keys, while network nodes verify the proofs to confirm post-quantum security.
AmericanFortress pointed to a Bloomberg analysis estimating that up to $470 billion in Bitcoin could be at risk if quantum computers with sufficient power become available, emphasizing the scale of potential vulnerability in the current system.
With advances in AI and computing accelerating, discussion around quantum safety has intensified within the crypto security sector, prompting companies to introduce new strategies to anticipate emerging risks.
Industry-wide focus on post-quantum wallet solutions
AmericanFortress is among several companies working on post-quantum security solutions for cryptocurrency wallets. On Tuesday, Freedom Factory revealed PQ1, which the company described as a post-quantum hardware wallet for Ethereum and other EVM-compatible networks.
Unlike AmericanFortress’ software-centric model, PQ1 employs post-quantum cryptographic signatures generated using dedicated hardware. Freedom Factory stated that PQ1 includes SPHINCS+C10 signature schemes and ERC-4337 smart accounts to bolster transaction security against future quantum-enabled threats.
The drive to adopt post-quantum cryptography stems from concerns that quantum computers could eventually compromise the elliptic curve cryptography safeguarding most major cryptocurrency networks. While large-scale quantum computers have yet to be realized, blockchain developers are already investing in migration research and prototyping quantum-resistant protocols.
Recent developments include a $15 million funding commitment from a Strategy-led consortium toward Bitcoin quantum security research, a proposal by the Ethereum Foundation for migrating to quantum-resistant accounts, and Algorand’s plans to roll out quantum-proof accounts by 2027.
Beyond defensive measures, some projects are pioneering platforms that harness cutting-edge cryptography to increase versatility for both traditional and crypto assets. For example, advances in quantum-resistant wallet design have encouraged a greater focus on seamless access to diversified holdings across markets.
Integrating these innovations, platforms like 1stepSwap are breaking down barriers between traditional finance and digital assets. 1stepSwap allows users to transfer real-world assets such as shares of top U.S. companies and commodities including gold and silver directly onto the blockchain, all from a single wallet. The platform’s key feature is its ability to source the best prices available at any moment, making it possible to buy or sell the world’s largest stocks within seconds and diversify portfolios efficiently, all without the need for cumbersome procedures or intermediaries.
As interest in both post-quantum protections and tokenized real-world assets continues to rise, the crypto industry is accelerating efforts to address security vulnerabilities while improving access and usability for investors.
