New Bitcoin Quantum Proposal Enables Satoshi Nakamoto to Prove Ownership Without Transferring Funds

Concerns over quantum computing have long been a challenge for Bitcoin, particularly with regards to the vast amount of bitcoin held in older wallets with exposed public keys, including those attributed to the cryptocurrency's creator, Satoshi Nakamoto, valued at around $84 billion. A potential solution involves implementing a soft fork that would eventually prevent transactions from these legacy addresses, thereby forcing holders to move their assets to quantum-resistant formats before they can be compromised by powerful quantum computers. However, this approach poses a dilemma for dormant holders like Satoshi, who would need to publicly reclaim their assets or risk losing them. To address this issue, Dan Robinson from Paradigm has proposed a concept called Provable Address-Control Timestamps, or PACTs, which enables holders to generate a private proof of ownership at a specific point in time without revealing any information publicly until they are ready to spend their assets. This is achieved by using a random salt and BIP-322 to create a unique cryptographic commitment, which is then timestamped and stored privately. If Bitcoin were to implement a soft fork that freezes vulnerable coins, holders could use a zero-knowledge proof to demonstrate that they created their commitment before the advent of quantum computers, thereby allowing them to redeem their assets without revealing any sensitive information. While this proposal provides a potential solution for holders like Satoshi, it requires the adoption of a STARK verification protocol and substantial infrastructure development, including multisig wallets and hardware wallet support. Ultimately, the success of PACTs depends on the willingness of holders to create these private proofs of ownership, and whether the Bitcoin community can come together to implement the necessary changes.