CZ Says Crypto Must Upgrade to Post-Quantum Algorithms

Changpeng Zhao, known as CZ, co-founder of crypto exchange Binance, posted a public statement on 31 March 2026. He addressed growing concern that quantum computers — machines that process information far faster than standard computers — could break the encryption protecting crypto wallets. His conclusion: crypto protocols will survive, but they must migrate to post-quantum algorithms. Post-quantum algorithms are encryption methods designed to resist attacks from quantum computers.

Four execution risks identified by CZCZ listed four specific risks in the transition process. First, decentralised networks — those with no single controlling authority — face coordination challenges when agreeing on upgrades. Second, disagreements over which algorithm to adopt can trigger a fork, where a blockchain splits into two separate chains. Third, new code can introduce new security vulnerabilities. Fourth, users who hold crypto in self-custody wallets — meaning they control their own private keys without a third party — must manually move their funds to new, upgraded wallets.

"New code may introduce other bugs or security issues in the short term. People who self custody will have to migrate their coins to new wallets.", 31 March 2026. — Changpeng Zhao, Co-founder, Binance

Satoshi's coins at centre of debateCZ raised a specific scenario involving Satoshi Nakamoto, the anonymous creator of Bitcoin. Early Bitcoin addresses, including those attributed to Satoshi, use an older format that security researchers identify as quantum-vulnerable. A sufficiently powerful quantum computer could use exposed cryptographic data to access and move those coins. CZ warned that hackers could drain these wallets unless the community acts first to lock or freeze them.

Developer proposals already address the riskBitcoin developers have proposed BIP-360, a Bitcoin Improvement Proposal designed to introduce post-quantum protections for legacy addresses. The CEO of CryptoQuant, a blockchain analytics firm, estimated in February 2026 that approximately 6.89 million Bitcoin sit in addresses vulnerable to quantum attack. No quantum computer currently has the capability to break Bitcoin encryption.

Long-term survival of crypto confirmedCZ concluded that more computing power, including quantum, benefits technology overall. He stated that crypto will remain viable after the quantum transition. The European Union mandates migration to post-quantum cryptography by 2030 under its cybersecurity framework. The United States National Institute of Standards and Technology (NIST) approved a set of post-quantum algorithms in 2024, giving developers a confirmed upgrade path. CZ listed four specific risks in the transition process. First, decentralised networks — those with no single controlling authority — face coordination challenges when agreeing on upgrades. Second, disagreements over which algorithm to adopt can trigger a fork, where a blockchain splits into two separate chains. Third, new code can introduce new security vulnerabilities. Fourth, users who hold crypto in self-custody wallets — meaning they control their own private keys without a third party — must manually move their funds to new, upgraded wallets.

Long-term survival of crypto confirmedCZ concluded that more computing power, including quantum, benefits technology overall. He stated that crypto will remain viable after the quantum transition. The European Union mandates migration to post-quantum cryptography by 2030 under its cybersecurity framework. The United States National Institute of Standards and Technology (NIST) approved a set of post-quantum algorithms in 2024, giving developers a confirmed upgrade path. Satoshi's coins at centre of debateCZ raised a specific scenario involving Satoshi Nakamoto, the anonymous creator of Bitcoin. Early Bitcoin addresses, including those attributed to Satoshi, use an older format that security researchers identify as quantum-vulnerable. A sufficiently powerful quantum computer could use exposed cryptographic data to access and move those coins. CZ warned that hackers could drain these wallets unless the community acts first to lock or freeze them.

Long-term survival of crypto confirmedCZ concluded that more computing power, including quantum, benefits technology overall. He stated that crypto will remain viable after the quantum transition. The European Union mandates migration to post-quantum cryptography by 2030 under its cybersecurity framework. The United States National Institute of Standards and Technology (NIST) approved a set of post-quantum algorithms in 2024, giving developers a confirmed upgrade path. CZ concluded that more computing power, including quantum, benefits technology overall. He stated that crypto will remain viable after the quantum transition. The European Union mandates migration to post-quantum cryptography by 2030 under its cybersecurity framework. The United States National Institute of Standards and Technology (NIST) approved a set of post-quantum algorithms in 2024, giving developers a confirmed upgrade path. Cryptocurrencies are highly volatile and involve significant risk. You may lose part or all of your investment. All information on Coinpaprika is provided for informational purposes only and does not constitute financial or investment advice. Always conduct your own research (DYOR) and consult a qualified financial advisor before making investment decisions. Coinpaprika is not liable for any losses resulting from the use of this information.

CZ Says Crypto Must Upgrade to Post-Quantum Algorithms

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