 ▲ Bitcoin (BTC), quantum computer / ChatGPT-generated image |
An analysis suggests that as Bitcoin (BTC) overcomes the technical challenges posed by quantum computers, lost coins could naturally be burned in the process, ultimately turning the crisis into an opportunity that drives a surge in asset value.
According to cryptocurrency-focused outlet Cointelegraph on February 16 (local time), on-chain analyst Willy Woo described the quantum computing risk facing Bitcoin as a potential catalyst that could strengthen the asset’s scarcity. Woo emphasized that while physical gold cannot adapt to technological progress, Bitcoin is an evolving asset capable of responding to new threats through code updates.
Concerns that quantum computers could break Bitcoin’s cryptographic system have long been a source of fear in the market, but the issue is widely seen as technically solvable. By implementing a network-level upgrade that introduces quantum-resistant cryptography, actively circulating Bitcoin holdings could be migrated to secure new address formats. However, early coins—such as those held by developer Satoshi Nakamoto or coins whose private keys have been lost—would be unable to move to the new security standard and would remain isolated on the network.
Woo analyzed that these lost coins would effectively become permanently inaccessible during the quantum-resistance upgrade process, creating an involuntary burn effect. As millions of unclaimed coins disappear from the circulating supply, scarcity among the remaining Bitcoin would be maximized, intensifying upward price pressure. While gold faces the persistent risk of increased supply through advances in space mining or deep-sea exploration technologies, Bitcoin has a paradoxical structure in which technological advancement can further restrict supply.
The Bitcoin community has already strengthened security through numerous upgrades, including Taproot, and is expected to manage quantum threats through further technological enhancements achieved by ecosystem consensus. It is still likely to take considerable time before quantum computing reaches a level capable of breaking Bitcoin’s encryption, giving the network ample opportunity to complete its defensive measures. Bitcoin continues to demonstrate strong adaptability, turning technological challenges into stepping stones for growth rather than remaining merely a digital currency.
Core Bitcoin developers are accelerating research into signature algorithms capable of withstanding quantum computing power, focusing on ensuring the network’s long-term stability. Market participants are formulating investment strategies based less on short-term technological uncertainty and more on Bitcoin’s adaptive mechanisms and the long-term value preservation effects of potential supply reduction scenarios.
Disclaimer: This article is for investment reference only, and no responsibility is assumed for any investment losses incurred based on it. The content should be interpreted for informational purposes only.