TLDR
- Kevin O’Leary suggests quantum computing poses a serious risk to Bitcoin’s future.
- Concerns over quantum computing are limiting institutional Bitcoin exposure.
- BIP 360 aims to address Bitcoin’s quantum vulnerabilities with new security measures.
- Jefferies strategist Christopher Wood reduces Bitcoin allocation due to quantum threats.
Kevin O’Leary, a well-known Canadian businessman and Shark Tank investor, recently warned that quantum computing might pose a more significant risk to Bitcoin than previously anticipated.
As quantum technology advances, there are growing concerns that it could compromise the cryptographic security that underpins Bitcoin and other cryptocurrencies. This threat is enough to make institutional investors cautious, preventing them from increasing their Bitcoin exposure, O’Leary suggests.
100% agree with Kevin here as it goes for how to properly capture the alpha in the #Crypto market and many need to listen and learn from that. I also agree that Quantum does present a major problem to #BTC and many other areas of the markets including national security which can… https://t.co/4kxq7srp4T
— Kevin (@Kev_Capital_TA) February 17, 2026
Although O’Leary doesn’t believe the threat is imminent, he emphasized that the potential risks from quantum computing are already influencing investment decisions. “Until that gets resolved, don’t expect them to go beyond a 3% allocation,” O’Leary stated.
According to him, investors will remain disciplined and wait for a clear solution to address quantum vulnerabilities before increasing their Bitcoin investments.
Institutional Caution Over Quantum Risks
O’Leary’s warning reflects a broader trend within the investment community, where institutional investors are beginning to pull back from Bitcoin due to concerns over quantum computing. For instance, Christopher Wood, global head of equity strategy at Jefferies, recently reduced his Bitcoin exposure by 10%.
Wood cited quantum computing as a key factor in his decision, fearing it could undermine Bitcoin’s role as a reliable store of value, especially for long-term investors like pension funds.
The awareness of quantum computing’s potential risks is starting to affect Bitcoin’s market value. Some analysts believe that the growing concerns over quantum threats have contributed to Bitcoin’s recent price decline.
As more investors reconsider their exposure to Bitcoin, the cryptocurrency’s once-steady rise against assets like gold has slowed down. This shift suggests that the uncertainty surrounding quantum computing is having a tangible impact on Bitcoin’s market dynamics.
Developers Address Quantum Vulnerabilities with BIP 360
In response to these growing concerns, Bitcoin developers are working on ways to protect the cryptocurrency from quantum risks. One such effort is Bitcoin Improvement Proposal 360 (BIP 360), which was recently merged into the official BIP GitHub repository.
While it has not yet been implemented, this proposal aims to reduce Bitcoin’s vulnerability to quantum attacks by introducing a new output type called Pay-to-Merkle-Root (P2MR).
P2MR is designed to minimize the exposure of public keys, which could be vulnerable to quantum computing attacks. Traditional Bitcoin formats, such as Pay-to-PubKey (P2PK), expose public keys, making them a target for quantum decryption.
The P2MR output type prevents this exposure by keeping the public keys off-chain until they are needed for a transaction. This solution is an important step in making Bitcoin more resistant to future quantum threats.
Quantum Computing and Bitcoin’s Future
As quantum computing technology advances, its potential to break current cryptographic methods remains a pressing issue for Bitcoin. Cryptography is essential to Bitcoin’s operation, and any breakthrough in quantum computing could potentially render it insecure.
This risk is prompting many institutional investors to take a more cautious approach to Bitcoin, holding off on further investments until a clear solution is found.
The uncertainty surrounding quantum computing’s impact on Bitcoin’s future is creating a tense atmosphere for investors. While developers work on solutions like BIP 360, it will take time for these measures to be fully implemented. Until then, Bitcoin’s future as a secure store of value may depend on how quickly the crypto community can adapt to the evolving threat posed by quantum computing.
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