- BTQ Technologies releases Bitcoin Quantum testnet using NIST-approved algorithm.
- Approximately 6.26 million BTC, worth $650-750 billion, face quantum vulnerability.
- Federal agencies must adopt post-quantum cryptography by 2035 under the mandate.
BTQ Technologies released the Bitcoin Quantum testnet on January 12, shortly after the 17th anniversary of Bitcoin’s genesis block. The Vancouver-based quantum technology company introduces the first quantum-resistant Bitcoin fork utilizing ML-DSA cryptographic standards approved by NIST.
The permissionless network invites miners, developers, researchers, and users to participate in testing quantum-safe transactions before potential mainnet migration. Infrastructure includes a block explorer and mining pool accessible to global participants seeking to validate the system’s security architecture.
Approximately 6.26 million Bitcoin currently sit in addresses with exposed public keys, representing $650 billion to $750 billion in value vulnerable to future quantum attacks. Bitcoin Quantum replaces the existing ECDSA signature scheme with the Module-Lattice Digital Signature Algorithm, which aligns with cryptographic standards mandated for U.S. national security systems.
Delphi Digital characterized the project as a “quantum canary” network in its December 2025 analysis. The research firm estimated 6.65 million BTC face immediate quantum threats, including Satoshi Nakamoto’s holdings between 600,000 and 1.1 million coins. Delphi positioned the testnet as a production-grade environment that allows the crypto ecosystem to evaluate quantum-resistant solutions without risking Bitcoin’s main network.
BlackRock expanded quantum risk disclosure in its iShares Bitcoin Trust prospectus, which manages $64 billion in assets. The filing warns that quantum computing could “compromise the security of the Bitcoin network,” resulting in shareholder losses. VanEck CEO Jan van Eck stated in December that the firm would abandon Bitcoin if the fundamental thesis breaks.
Government Timelines Accelerate Transition Requirements
The Department of Defense issued a November 18, 2025, memorandum requiring all components to phase out legacy cryptography by December 31, 2030. The directive mandates an immediate inventory of cryptographic systems across national security infrastructure, weapons platforms, cloud computing, mobile devices, and operational technology.
NSA’s CNSA 2.0 requires ML-DSA for all National Security Systems with complete legacy cryptography prohibition by 2035. The White House estimates $7.1 billion for government-wide post-quantum cryptography migration between 2025 and 2035.
The crypto community on X has reacted to the news. Rajat Soni said that quantum-resistant code will be ready well before quantum computers become strong enough to threaten Bitcoin. He added that the update was needed urgently to stop fear, uncertainty, and doubt, and to thoroughly test the system to ensure it works as intended.
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