The emergence of quantum computing has sparked concerns about the potential risks it poses to legacy blockchains. Experts suggest that XRP's architecture may be better equipped to withstand these threats than Bitcoin's.
XRP operates on the XRP Ledger, an open-source and decentralized blockchain, which is utilized by Ripple for cross-border transactions. A key aspect of blockchain technology is the use of private and public keys for transaction authentication. However, a sufficiently powerful quantum computer could potentially reverse-engineer a private key from an exposed public key, allowing it to drain funds from an account. Typically, a public key is exposed when a transaction is sent, making the account quantum-vulnerable.
A recent audit of the XRP Ledger found that approximately 300,000 accounts, holding 2.4 billion XRP, have never sent funds and are therefore quantum-safe by default. In contrast, dormant whale accounts that have transacted in the past and exposed their public keys are at risk. The XRP Ledger's key rotation feature allows users to swap their signing key without moving funds, providing an additional layer of security.
Another defense against quantum risk is the escrow feature, which locks funds with a time lock, making them inaccessible until a specified time has passed. Compared to XRP, the quantum threat to Bitcoin appears more significant due to the sheer scale of vulnerable accounts. Approximately 6.9 million BTC, nearly 35% of Bitcoin's circulating supply, are vulnerable to quantum attacks.
The lack of a key rotation feature in Bitcoin's blockchain also leaves holders with limited options to protect their funds. While the risks are still largely theoretical, they highlight the relative structural vulnerability of Bitcoin holders.