AmericanFortress proposes quantum-safe crypto wallet protection without fund migrationThe proposed cryptographic scheme aims to protect existing Bitcoin, Ethereum and Solana wallets from future quantum attacks without requiring users to move funds or change wallet addresses.

AmericanFortress, a blockchain security company, has introduced a novel cryptographic scheme aimed at protecting existing cryptocurrency wallets from future quantum computer attacks without necessitating users to move funds, rotate keys, or change wallet addresses. The company detailed this proposal in a technical paper published on the Cryptography ePrint Archive. This scheme is reportedly compatible with hierarchical deterministic wallets derived from seed phrases, which are widely used across Bitcoin, Ethereum, Solana, and other blockchain networks reliant on elliptic curve cryptography. The key innovation is the use of zero-knowledge proofs based on the wallet’s original seed phrase, allowing nodes to verify these proofs while users continue signing transactions with their current keys. The paper has not yet undergone peer review.

The significance of this development is underscored by concerns that quantum computers, once sufficiently advanced, could potentially compromise elliptic curve cryptography, the security foundation of many cryptocurrencies. A recent Bloomberg analysis cited by AmericanFortress estimates that up to $470 billion in Bitcoin alone could be at risk if such quantum capabilities emerge. Protecting wallets without requiring migration or changes to addresses could simplify security upgrades and reduce risks during transitions.

AmericanFortress is part of a broader industry effort to prepare for quantum threats. Another notable example is Freedom Factory’s PQ1, a hardware wallet for Ethereum and EVM-compatible networks that employs post-quantum cryptographic signatures generated on dedicated hardware using SPHINCS+C10 and ERC-4337 smart accounts. These varying approaches, software-based by AmericanFortress and hardware-based by Freedom Factory, illustrate diverse strategies being explored to secure crypto assets against the potential future quantum threat.

The increasing focus on post-quantum cryptography within blockchain projects reflects the urgency to address this looming issue, even though sufficiently powerful quantum computers do not yet exist. In recent months, initiatives include a $15 million funding pledge for Bitcoin quantum security research, the Ethereum Foundation’s migration proposals to quantum-resistant cryptography, and plans from Algorand to introduce quantum-resistant accounts by 2027. AmericanFortress’s proposal adds to this evolving landscape by offering a method to enhance wallet protection without user disruption or fund migration.