As plaintiffs attempt to overturn a prior court decision, the long-running conflict between Bitcoin SV investors and cryptocurrency exchange Binance has entered a new stage. The investors are continuing to assert that Binance&#8217;s decision to remove Bitcoin SV (BSV) from…

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both technical patterns and growing adoption across the ecosystem. According 
to data from crypto.news, Chainlink (LINK) was up roughly 6% trading at $17.27 
on May 14…

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Non-custodial crypto wallet Coinbase Wallet is about to launch a new feature 
that some crypto security experts warn could become a new tool for scammers to 
target users. Coinbase Wallet, the cryptocurrency wallet developed by the 
Coinbase exchange, appears to…

Coinbase Wallet sparks backlash with new encrypted messaging feature

## What is the Q-Day prize?
_The Q-Day Prize is a challenge to make the Bitcoin network quantum 
resistant._
On April 16, 2025, quantum computing-focused company Project 11 announced the 
&#8220;Q-Day Prize,&#8221; a competition to break a &#8220;toy version&#8221; of Bitcoin&#8217;s 
cryptography with a quantum computer. Contestants must complete the Q-Day 
Prize challenge by April 5, 2026.
Their reward? 1 Bitcoin (BTC).
The &#8220;Q&#8221; in Q-Day refers to quantum computing, the potential threat to many 
existing cryptographic security measures.
But can quantum computers break Bitcoin? Let&#8217;s find out.
### Quantum computing and the threat to Bitcoin
Bitcoin utilizes the SHA-256 hashing algorithm, a National Security Agency 
(NSA)-developed encryption algorithm. SHA-256 prevents brute force attacks 
against the Bitcoin network, as decrypting it with current hardware can take 
decades. However, the emerging threat to SHA-256 is quantum computing, a 
method of computing that harnesses quantum physics and is much faster than 
traditional computing.
At a fundamental level, quantum computing utilizes quantum bits (qubits), 
which can exist in multiple states. This contradicts binary (traditional) 
computing, which uses binary bits (1s and 0s). In 1994, mathematician Peter 
Shor presented an algorithm for quantum computers to solve complex algorithms 
in seconds, rather than the decades it can take for conventional hardware. At 
the time, no hardware could effectively run it, but recent advances like 
Google Willow are nearing that capability.
Quantum computing, when paired with Shor&#8217;s algorithm, can disrupt Bitcoin 
cryptographic systems as we know them. Shor&#8217;s algorithm allows quantum 
computers to solve complex math super fast, potentially threatening Bitcoin&#8217;s 
safety.
_**Did you know?** If quantum tech gets strong enough, Bitcoin&#8217;s current 
security could become obsolete, so developers are racing to create &#8220;quantum- 
proof&#8221; shields using new math that even Shor&#8217;s algorithm can&#8217;t break._
## Quantum threat to Bitcoin: How real is the danger?
_Bitcoin is vulnerable to quantum computing, but how serious is the risk?_
When you create a crypto wallet, it generates two important things: a private 
key and a public key. The private key is a secret code, like a password, that 
you must keep safe. The public key is created from your private key, and your 
wallet address (like a bank account number) is made from the public key.
You share your wallet address with others so they can send you cryptocurrency, 
just like you share your email address for someone to contact you. However, 
you never share your private key. It&#8217;s like the password to your email &#8212; only 
you need it to access and spend the money in your wallet.
Your private key is like a master password that controls your crypto wallet. 
From this private key, your wallet can create many public keys, and each 
public key generates a wallet address.
For example, if you use a hardware wallet, it has one private key but can 
create unlimited public keys (wallet addresses). This means you can have 
different addresses for each cryptocurrency supported by the wallet or even 
multiple addresses for the same cryptocurrency, all managed by a single 
private key.
While generating a public key from a private key is straightforward, figuring 
out a private key from a public key is extremely hard &#8212; almost impossible &#8212; 
which keeps your wallet secure. Every time you send cryptocurrency, your 
private key creates a special code called a signature. This signature proves 
you own the funds and want to send them. The system that uses your private 
key, public key and signature to secure transactions is called the Elliptic 
Curve Digital Signature Algorithm (ECDSA).
It is believed that quantum computing could reverse the process and generate 
private keys out of public ones. It is feared that this could cause many 
Bitcoin holders (especially whales and Satoshi-era wallets) to lose their 
funds.
### Bitcoin address types and quantum risks
When you send Bitcoin, you use a specific address type to direct the payment. 
Each address type has unique features, affecting security, privacy and 
vulnerability to quantum computing attacks like Shor&#8217;s algorithm.
### P2PK address types
When you pay someone with Bitcoin, the transaction is typically considered a 
&#8220;pay-to-public-key&#8221; (P2PK). This was the most common payment method in 2009, 
according to a report from consulting firm Deloitte.
Much of the original Bitcoin released at the network&#8217;s launch is held in 
wallets with the P2PK address type, primarily due to the fact that they&#8217;ve 
sent transactions since Bitcoin&#8217;s 2009 launch. These addresses are long (up to 
130 characters), making them less user-friendly.
Wallets with the P2PK address type are most susceptible to Shor&#8217;s algorithm, 
as it can brute force the private key from a P2PK wallet address.
### P2PKH address types
There&#8217;s a second address type that&#8217;s more resistant to Shor&#8217;s algorithm: the 
pay-to-public-key-hash (P2PKH). P2PKH addresses are shorter and are generated 
from the hash (a unique, hexadecimal value) of a public key created using 
SHA-256 and RIPEMD-160 algorithms instead of displaying the full key itself.
These addresses are shorter (33-34 characters), start with &#8220;1,&#8221; and are 
encoded in Base58 format. Such addresses are widely used and include a 
checksum to prevent typos, making them more reliable.
P2PKH addresses are more resistant to Shor&#8217;s algorithm than P2PK because the 
public key is hashed. The public key is only revealed when you spend from the 
address (not when receiving). If a P2PKH address never sends Bitcoin, its 
public key stays hidden, offering better protection against quantum attacks.
However, reusing a P2PKH address (sending from it multiple times) exposes the 
public key, increasing vulnerability. Also, when you spend from a P2PKH 
address, the public key becomes visible on the blockchain, making transactions 
trackable.
### Taproot addresses
Taproot is the newest address type, introduced in November 2021 via the 
Taproot soft fork. It uses Schnorr signatures instead of the ECDSA signatures 
used by P2PK and P2PKH. These addresses start with &#8220;bc1p,&#8221; use Bech32m 
encoding, and are 62 characters long.
They offer better privacy. Multisignature (multisig) transactions look like 
single-signature ones, hiding complex spending conditions. However, Taproot 
addresses expose the public key (or a tweaked version), making them vulnerable 
to Shor&#8217;s algorithm, similar to P2PK.
_**Did you know?** Google&#8217;s &#8220;Willow&#8221; computer chip is capable of solving a 
complex problem in just five minutes. The same task would take a classical 
supercomputer 10 septillion (!) years._
## The race toward quantum-proofing Bitcoin
_Quantum resistance is a real challenge, but not an impossible one._
Quantum computers, still in early development, could one day use Shor&#8217;s 
algorithm to break Bitcoin&#8217;s cryptography by deriving private keys from public 
keys. This would threaten Bitcoin and other systems using SHA-256 or ECDSA 
(the algorithms securing Bitcoin transactions). However, this threat is not 
imminent, and solutions are already in progress.
While some believe that Project 11 presented the Q-Day Prize to take down 
Bitcoin, the company claims this initiative is aimed at &#8220;quantum-proofing&#8221; the 
network.
In July 2022, the US Department of Commerce&#8217;s National Institute of Standards 
and Technology (NIST) announced four quantum-resistant cryptographic 
algorithms resulting from a six-year challenge to develop such solutions.
Quantum computing won&#8217;t develop in isolation, and centralized systems like 
government and financial networks could be bigger targets than Bitcoin&#8217;s 
decentralized blockchain. These systems use outdated cryptography, like RSA, 
vulnerable to Shor&#8217;s algorithm, and store sensitive data (e.g., banking 
records). Their single points of failure make breaches easier than attacking 
Bitcoin&#8217;s distributed nodes.
The International Monetary Fund warns quantum computers could disrupt mobile 
banking, while Dr. Michele Mosca from the Institute for Quantum Computing 
highlights &#8220;harvest-now, decrypt-later&#8221; risks for centralized data (where 
attackers store encrypted data today to decrypt with future quantum 
computers). In 2024, the G7 Cyber Expert Group urged financial institutions to 
assess quantum risks, noting that centralized systems&#8217; data could be exposed 
if intercepted now and decrypted later.
_**Did you know?** Many blockchain networks are exploring quantum-resistant 
algorithms, such as Quantum Resistant Ledger or Algorand. These quantum 
computing blockchain security methods present a few different approaches._
## How to increase your security against quantum threats
_While the quantum computing cryptocurrency risk is less of a threat than one 
might think, it &#8216;s still best to stay prepared._
Still, if you&#8217;re worried about Bitcoin quantum vulnerability, there are a few 
precautions you can take to secure your crypto finances.
 * **Avoid reusing public addresses:** Most crypto wallets allow you to generate a new public address for every transaction. This practice will make it much harder to track your spending habits. 
 * **Move funds to a private wallet:** If you&#8217;ve been using the same public wallet address for some time, consider moving your funds to a new wallet with no history. This will help keep your spending habits private. 
 * **Use a different blockchain network:** Legacy networks like Bitcoin and Ethereum are considered less quantum resistant than newer networks with more modern security algorithms. Consider alternative networks with quantum resistance in mind. 
 * **Stay informed:** Pay attention to the results of the Q-Day Prize challenge, and stay up to date with quantum computing news so you can react accordingly. The best defense is an informed one.
While quantum risk is not immediate, developers and cybersecurity experts are 
actively working on solutions to ensure long-term security. In the meantime, 
users should stay updated about Bitcoin protocol updates and best practices, 
such as avoiding address reuse, as the network gradually moves toward quantum 
resistance.

The Q-Day Prize challenge, explained: Can quantum computers really break Bitcoin?

Decentralized settlement protocol Kima has integrated into Mastercard&#8217;s 
sandbox program, enabling stablecoin-powered top-ups for prepaid cards 
directly from self-custody wallets.
According to an announcement shared with Cointelegraph, Mastercard partners 
can now rely on Kima&#8217;s settlement infrastructure to allow their prepaid cards 
to be topped up with stablecoins, including USDC (USDC) and Tether&#8217;s USDt 
(USDT), from self-custody wallets across more than 10 blockchains.
Kima CEO Eitan Katz said the integration shows that stablecoins can be 
practical for everyday use and remove friction and intermediaries from crypto- 
to-fiat conversions while expanding crypto usability.
&#8220;Our goal at Kima is to eliminate barriers between digital assets and 
traditional finance,&#8221; Katz said.
_**Related:**__**Mastercard tokenized 30% of its transactions in 2024**_
## Infrastructure designed for interoperability
Katz described Kima&#8217;s settlement system as asset-agnostic and designed to 
simplify cross-ecosystem payments, supporting public blockchains, private 
ledgers and traditional banking rails:
&gt; &#8220;Kima&#8217;s asset-agnostic settlement layer is designed to abstract the 
&gt; complexity of transferring value across disparate ecosystems, whether that&#8217;s 
&gt; public blockchains, private ledgers, or even traditional banking systems.&#8221;
According to the announcement, Kima&#8217;s infrastructure is aligned with 
Mastercard&#8217;s aim to bring stablecoins into mainstream financial usage. Katz 
rejects the Bitcoin and crypto hardliner vision of digital assets being 
contrapposed to fiat currency, claiming that &#8220;crypto and fiat must coexist 
seamlessly to reach their full potential.&#8221;
Katz explained that Kima&#8217;s solution allows for easy crosschain 
interoperability and eliminates the reliance on intermediaries, custodians or 
complex smart contracts. This, in turn, reportedly enhances security and 
efficiency for all parties involved.
_**Related:**__**Mastercard links with Circle, Paxos for merchant stablecoin 
payments**_
## ECB includes Kima in digital euro initiative
Earlier in May, the European Central Bank (ECB) included Kima in a list of 70 
private sector partners tasked with helping with digital euro innovation. The 
firms on the list have signed up to work with the ECB to explore digital euro 
payment functionalities and use cases.
&#8220;The breadth and creativity of the proposals highlights the digital euro&#8217;s 
potential as a catalyst for financial innovation in Europe,&#8221; ECB executive 
board member Piero Cipollone said at the time.
_Source:__Kima_
Despite Kima&#8217;s institutional partnerships, Katz told Cointelegraph that 
&#8220;compliance shouldn&#8217;t mean giving up control of your funds or your data.&#8221; He 
said that know-your-client and Anti-Money Laundering checks are handled by 
third-party banks and virtual asset service providers at onboarding, and Kima 
never has access to the data.
Katz added that &#8220;once a user is cleared, every transaction carries immutable 
metadata tags that our protocol-level engine checks against local rules.&#8221; 
This, he said, covers compliance &#8220;from the European Union&#8217;s Markets in Crypto- 
Assets Regulation to Singapore&#8217;s regulatory guidelines &#8212; before settlement.&#8221;
Katz said that &#8220;keys are kept entirely under the users&#8217; control,&#8221; while 
cryptographic proofs still allow for compliance.
&#8220;Institutions get a plug-and-play control layer and users enjoy true self- 
custody,&#8221; Katz added.
_**Magazine:**__**Crypto wanted to overthrow banks, now it &#8216;s becoming them in 
stablecoin fight**_

Kima joins Mastercard sandbox to enable stablecoin card top-ups

Nasdaq-listed GD Culture Group plans to allocate up to $300 million from a 
stock purchase agreement toward acquiring BTC and TRUMP for its corporate 
treasury, signaling a strategic pivot toward decentralized finance. GDC to 
Build Crypto Reserve with $300 Million Stock Deal GD Culture Group Limited 
(Nasdaq: GDC) has announced a landmark $300 million common […]