Bank of Italy Conference Explores Quantum Risks for Blockchain Networks

The Bank of Italy is hosting the annual Financial Cryptography in Rome (FCiR26) conference on October 6, organized with the association De Cifris. The event focuses on cryptographic techniques applied to the financial sector, including the transition to post-quantum cryptography, quantum risks for public blockchains, and encryption methods to protect privacy in the public sector.

The conference aims to bring together scholars, academics, and experts from central banks and national and international institutions to discuss recent developments in financial cryptography. While the event highlights the potential risks of quantum computing for blockchain networks, it does not represent an official stance from the Bank of Italy on Bitcoin or other cryptocurrencies.

Key topics include the vulnerability of digital signatures used in Bitcoin and Ethereum, which could be compromised by future quantum computers. The National Institute of Standards and Technology (NIST) has set a timeline for transitioning to post-quantum cryptographic standards, aiming to phase out vulnerable algorithms by 2035. Ethereum has set a target of December 2029 to make its base layer quantum-resistant, though this does not imply an imminent threat from quantum computing.

The European Supervisory Authorities (EBA, EIOPA, and ESMA) have also identified quantum computing as a potential risk to financial systems, emphasizing the need for early intervention to mitigate these threats. The conference serves as a platform for scientific discussion rather than a regulatory announcement, reflecting the Bank of Italy's approach to technology as a subject of research and potential future regulation.