- VanEck, one of Bitcoin’s vocal supporters, admitted it will “walk away” from BTC if quantum computing renders its underlying technology obsolete.
- The global investment management firm revealed that it’s considering Zcash as an alternative to Bitcoin.
The threat of quantum computing to Bitcoin (BTC) and other cryptocurrencies grows increasingly imminent. Security firm Chainalysis predicts the technology could crack the code of the premier crypto in 10 to 15 years, while others like Ethereum (ETH) founder Vitalik Buterin believe it could be 2030 or earlier. Nevertheless, it’s something that people shouldn’t ignore.
VanEck to Eventually ‘Walk Away’ From Bitcoin
VanEck recognizes the eventuality of quantum computing breaking Bitcoin’s cryptographic security and/or consensus mechanism in the future. In an interview with CNBC, Jan van Eck, the company’s CEO, admitted that they will walk away from BTC if quantum technology can break its encryption.
“There’s something else going on with the Bitcoin community that kind of non-crypto people need to know about, and that is, ultimately, VanEck has been around before Bitcoin,” said VanEck. “We will walk away from Bitcoin if we think the thesis is fundamentally broken.”
VanEck’s statement paints a brutal reality check that even the most vocal advocates of Bitcoin could ultimately abandon their support if its chain couldn’t withstand the post-quantum world.
Zcash as a Bitcoin Alternative
Along the way, VanEck revealed that they have been exploring Zcash (ZEC) as an alternative to Bitcoin. He explained that ZEC is essentially related to BTC but with greater privacy.
The CEO claimed retail and institutional users are now recognizing that Bitcoin’s transparency exposes them to prying eyes. Hence, what used to be seen as a benefit has become a burden. As a result, they are seeking options with tight privacy features.
Like BTC, ZEC is a decentralized cryptocurrency. Zcash capped its max supply at 21 million tokens, ensuring its scarcity.
The project was launched in October 2016 as a fork from Bitcoin Core v0.11.2. However, it diverged from Bitcoin by integrating Zero-Knowledge Succinct Non-Interactive Arguments of Knowledge (zk-SNARKs), enabling the network to verify transactions without leaking sensitive information, including the identities of senders and recipients or the amounts involved in the transfers. Additionally, Zcash offers a different hashing algorithm and faster block times than Bitcoin.
It’s worth noting that amid the overall poor performance of BTC and the broader crypto market following the massive liquidations on October 10, ZEC rallied from a $71 low early last month to a $738 peak this November, representing a roughly 939% pump in its token’s value.
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