The theoretical threat quantum computers pose to Bitcoin that we have been talking about for so long is starting to slowly turn into actionable proposals.
One recently submitted proposal, known as BIP-361, aims to change the way that the Bitcoin network will respond to post-quantum technology threats. This is, if and when they arrive, led by cypherpunk Jameson Lopp and a coalition of developers and researchers.
This proposal aims to freeze so-called weak wallets (early types of wallets where the corresponding public key already revealed on-chain) to quantum attack. This makes the previously described wallets vulnerable to future quantum computers capable of computing private keys from these public keys.
BIP-361 has a sense of urgency: if quantum computing becomes sophisticated enough. This is because, it could break current cryptographic protections and make these vulnerable addresses susceptible to attack and fund access. BIP-361 seeks to address this risk proactively, before it becomes an issue.
Cypherpunk Jameson Lopp and other Bitcoin developers propose BIP-361 to freeze quantum vulnerable wallets.
This could lock dormant BTC like Satoshi Nakamoto’s 1.1M coins, now worth $74B, before quantum computers can steal them. pic.twitter.com/pYjT085f12
— Bitcoin Archive (@BitcoinArchive) April 15, 2026
The Target of Risk: Early Bitcoin Wallets
The weakness comes from how early Bitcoin transactions were structured. Most of the initial addresses, particularly those following Pay-to-Public-Key (P2PK) formats, reveal the public key on-chain. That has proven no problem with classical computing, but it’s a serious liability for the future of quantum capabilities.
And once quantum computers reach relevant performance levels, they could run Shor’s algorithm or similar to reverse-engineer private keys from the associated public ones. That would allow attackers to take control of funds without needing access credentials in the traditional sense.
Perhaps the most famous at-risk holdings are attributed to Satoshi Nakamoto. The most high-risk wallets of this type hold approximately 1.1 million BTC, worth an estimated $74 billion, in the dormant coins.
The potential extent of exposure has concerned the developer community, generating reminders the network should be guarded in advance.
The Magenta Games Inside BIP-361 And Its Migration Process
BIP-361 provides an explicitly systematic approach to ameliorating quantum vulnerabilities through the endorsement, and eventual coercion, of a migration towards quantum-resistant types of addresses. We outlined a stepwise approach to gradually migrate the network and avoid disruption.
The basic idea is simple enough: users need to move their assets to fresh, quantum-resistant addresses. If they do not comply by the deadline, their funds may be permanently frozen by the network.
This approach places the burden of quantum security on individual users. Holders are called to secure their assets proactively, as opposed only depending on protocol level protections.
BIP-361 Proposes Freezing Quantum-Vulnerable Bitcoin Addresses
Bitcoin developers and researchers have proposed BIP-361, which suggests freezing early Bitcoin addresses considered to have quantum vulnerabilities—primarily P2PK addresses with publicly exposed public keys—to… pic.twitter.com/C5zksSnW7l
— Wu Blockchain (@WuBlockchain) April 15, 2026
Security-Driven Rollout In Phases
To that end, the proposal consists of several stages designed to incrementally tighten restrictions on vulnerable addresses.
Phase A emphasizes prevention. Such a mechanism would disallow funds to be sent to quantum-vulnerable addresses, disincentivizing the use of legacy formats while accelerating the move towards born-quantum-safe solutions.
Phase B introduces enforcement. After a defined period, likely somewhere in the five-year range, legacy signature schemes (e.g., ECDSA, Schnorr) would be invalid for insecure addresses. This would block any funds held in those addresses, rendering them unusable, aka freezing the money.
Phase C, which is still under development, will define a possible recovery mechanism. A proposed method is using zero-knowledge proofs to demonstrate ownership of legacy wallets via proof-of-possessing a BIP-39 seed phrase. In this phase, legitimate owners would be able to recover in a quantum-safe way without leakage of sensitive information. Before we start, it is important to recognize that these transitions are outlined in a progressive manner which provides a clear roadmap and schedule for the transition of the Bitcoin network toward a quantum-resistant protocol.
Freezing Dormant Amounts as Golos Dust
Though the proposal is based on security grounds, it has elicited significant controversy in the Bitcoin community. One of the most controversial features is freezing dormant wallets, including those that haven’t been touched in years, or since Bitcoin’s very beginning.
Critics argue such a measure would undermine one of Bitcoin’s core principles: immutability. Unlike the decentralized approach of allowing all coin holders and participants to play as a gatekeeping role, freezing funds introduces precursors that some argue is against the ethos of full decentralisation. Supporters, by contrast, see the proposal as a long-overdue evolution.
They say failing to act could put the entire network at systemic risk if quantum attacks become practical. This point of view, however, justifies the temporary compromise on immutability as it maintains both user funds safety and network integrity. This is an issue that surfaces in a few different forms among the cryptocurrency layers: you have to navigate between your foundational values and this both simple but insidous change hurdle moving closer on the horizon.
A Deciding Factor in The Future Security of Bitcoin
BIP-361 isn’t just a BIP; it could be a turning point in how Bitcoin thinks about long-term security. Developers are showing an urge to evolve the protocol with new challenges by directly addressing quantum vulnerabilities.
For its users, the message is clear: The days of passive security may be numbered. As threats become more sophisticated, proactive measures, or migrating to secure address types, will become imperative to protecting your assets.
The proposal sets a big precedent for the broader industry. Other blockchain networks might adopt some aspects of Bitcoin’s post-quantum strategy as a template for their own quantum-resistance plans, which could accelerate applications of post-quantum cryptography across the ecosystem.
As the advances in quantum computing sweep every discipline, the considerations of change are not if it will come, but how quickly. With BIP-361, Bitcoin developers are trying to answer that question, before the threat becomes a real danger.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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