Bitcoin News Update: Zcash's Quantum-Proof Advantage Draws Institutional Interest Amid Bitcoin's Waning Security
- VanEck CEO warns firm will exit Bitcoin if quantum computing breaks its encryption, citing security risks to private keys and funds. - Zcash emerges as quantum-resistant alternative with "quantum recoverability" upgrades, attracting 1,486% price surge since August 2025. - Bitcoin faces governance challenges in rapid upgrades, with 25% of its supply already vulnerable to quantum attacks via exposed keys. - Industry splits on timeline: experts like Buterin warn of 2028 quantum threats, while others argue d
Jan van Eck, the CEO of VanEck, has delivered a serious caution that his company will exit
The CEO’s statements reflect a wider industry focus on the cryptographic underpinnings of Bitcoin. Should quantum computers reach sufficient capability, they could potentially crack the elliptic curve cryptography that protects Bitcoin transactions, exposing private keys and making theft possible.
Developers behind Zcash have taken steps to counter quantum threats with a method called “quantum recoverability.” This mechanism would let the network pause and upgrade if quantum computers become strong enough to compromise current encryption, ensuring users can still access their assets during the transition
Market trends show the increasing urgency of these concerns. Zcash (ZEC) has jumped 1,486% in the past three months, reaching $565 as of November 24, 2025, fueled by growing interest in privacy and quantum resistance
This ongoing discussion highlights a deeper conflict between Bitcoin’s open ledger and the increasing demand for privacy. VanEck argued that the public nature of Bitcoin transactions is at odds with changing user expectations, further boosting interest in alternatives like Zcash
With quantum computing progressing rapidly, the cryptocurrency sector is approaching a pivotal moment. While Zcash’s forward-thinking approach has drawn institutional interest, Bitcoin’s ability to coordinate swift, network-wide upgrades remains in question. VanEck’s warning suggests that major industry players now see quantum risks as a pressing issue that demands immediate action, rather than a distant possibility.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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