BlackRock, Coinbase and Fidelity to invest millions in Bitcoin security
Nine major companies have formed a consortium that will commit a combined $15 million over three years to Bitcoin security research and open-source software development.
The Bitcoin Security Consortium includes BlackRock, Coinbase, Strategy, Anchorage Digital, ARK Invest, Block, Blockstream, Fidelity Digital Assets and Galaxy. One of its main priorities will be preparing the network for potential threats posed by quantum computers.
The consortium also plans to publish materials on the state of Bitcoin security and the progress of related research. These publications will be aimed at both investors and the general public.
Who will fund Bitcoin security and how
The organization will not hold or distribute the pledged $15 million itself. Instead, each member company will independently choose which developers, researchers or organizations to support.
The participants also stressed that the consortium does not intend to direct Bitcoin’s development or take positions on specific protocol changes.
“Bitcoin Core developers do incredibly important work,” said Robert Mitchnick, Head of Digital Assets at BlackRock. According to him, the new initiative will make more funding available for projects focused on the network’s long-term security.
Separately, Galaxy launched a $5 million program this week. The funds will support the development of quantum-resistant digital signatures, wallet migration tools and security audits. The consortium did not clarify whether this amount is included in the overall funding commitment.
How Bitcoin is preparing for the quantum threat
Quantum computers capable of breaking the cryptography used by Bitcoin do not yet exist. However, developers are already exploring possible defenses, as agreeing on and implementing changes across wallets, exchanges, miners and users could take years.
One of the proposals under discussion is BIP 360. It would introduce a new transaction output type designed to reduce the amount of time public keys remain exposed to a potential attack.
Developers are also considering post-quantum signature schemes and ways to protect coins held in older addresses whose public keys have already been revealed.
According to CryptoQuant, around 6.9 million Bitcoin could potentially be vulnerable if sufficiently powerful quantum computers emerge. Addressing the threat would require technical changes and coordination across Bitcoin’s decentralized network.
The consortium’s work will be coordinated on a voluntary basis by Mike Schmidt, executive director of Brink, a nonprofit organization that funds Bitcoin developers.
Crypto companies are also developing other ways to protect digital assets from quantum-computing risks.
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