Ethereum Cofounder Warns BlackRock on Blockchain vulnerability as Bitcoin Faces Price Pressure
LISBON, PORTUGAL – November 21, 2023 – A leading Ethereum cofounder has issued a stark warning to BlackRock regarding the long-term security of its blockchain infrastructure, potentially foreshadowing notable risks for Bitcoin and the broader cryptocurrency market amid a recent price sell-off. Sergei Peronnin cautioned that BlackRock’s current blockchain systems must transition to more robust technology by 2030 to mitigate the emerging threat posed by quantum computing.
The warning, delivered during the Web Summit conference in Lisbon, comes as Bitcoin navigates a period of market volatility. Peronnin’s assessment centers on the escalating capabilities of quantum computers, which, if fully realized, could compromise the cryptographic foundations underpinning most blockchains, including those utilized by BlackRock and Bitcoin. This vulnerability stems from the potential for quantum computers to break the encryption algorithms currently used to secure transactions and validate blocks. the stakes are immense: a successful quantum attack could invalidate billions of dollars in cryptocurrency holdings and erode trust in decentralized finance.
“They need to fork [move to a stronger blockchain] by 2030, basically,” Peronnin told Fortune. He anticipates quantum computers will pose a credible threat shortly after 2030.
BlackRock launched its blockchain-based tokenized fund in September 2023, signaling a growing institutional interest in the technology. Though, Peronnin’s warning underscores the critical need for proactive adaptation to address
