Blockstream Proposes Hash-Based Signatures for Bitcoin Security

On December 5, 2025, Blockstream researchers Mikhail Kudinov and Jonas Nick presented hash-based signature technology as a potential safeguard for Bitcoin’s blockchain against future quantum computing threats.

As quantum algorithms loom, Bitcoin’s older wallets, holding $600 billion, face risks, prompting urgent discussions on adopting secure post-quantum signature schemes within the community.

Blockstream’s Response to $600 Billion Quantum Exposure

Blockstream researchers have suggested hash-based signature technology as a defense mechanism for Bitcoin’s $1.8 trillion blockchain. This proposal aims to protect against the potential threat posed by quantum computers. Mikhail Kudinov and Jonas Nick have underscored the importance of adopting such technology by highlighting its alignment with existing Bitcoin hash function assumptions.

If implemented, these hash-based signatures could significantly reduce the vulnerability of older Bitcoin wallets. Approximately $600 billion in Bitcoin, including Satoshi Nakamoto’s holdings, is currently exposed to quantum threats. This proposal follows on from earlier discussions within the Bitcoin Development community about post-quantum security solutions.

“These schemes have undergone extensive cryptanalysis during the NIST post-quantum standardisation process, adding confidence in their robustness.” — Mikhail Kudinov, Researcher, Blockstream

Bitcoin’s Market Challenges Amid Quantum Security Concerns

Did you know? Recent discussions around Bitcoin’s security from quantum threats echo Tadge Dryja’s 2025 proposal, emphasizing protecting exposed keys, indicating the ongoing necessity to safeguard digital assets.

Bitcoin (BTC) holds a market cap of $1.84 trillion, with a current price of $92,085.81 as of December 12, 2025, according to CoinMarketCap data. Despite recording a 0.90% rise in 24 hours, Bitcoin’s value has decreased by 20.69% over 90 days, showing the volatility it has faced amid technological and market shifts.

Analysts from Coincu suggest watching for regulatory and technological changes that could impact Bitcoin’s future security framework. The adoption of post-quantum signatures may provide a roadmap, enabling newer wallets and multisig solutions to ensure resiliency against emerging technological threats.