WEBVTT - Bitcoin vs. Quantum Computers: The Truth You Need to Know 0:00:00.240 --> 0:00:02.559 A new player has entered the game, and it's called 0:00:02.600 --> 0:00:06.760 the Willow Quantum chip. It's Google's latest breakthrough in computing power. 0:00:06.920 --> 0:00:10.280 Now the internet is a blaze with one question. Could 0:00:10.280 --> 0:00:14.600 this quantum machine destroy bitcoin? And why stop there? What 0:00:14.680 --> 0:00:19.600 about higher value targets, central banks, Department of Defense, corporations 0:00:19.720 --> 0:00:23.360 or more. Well, the headlines are terrifying, the debates online 0:00:23.360 --> 0:00:25.640 are pretty heated. In the stakes well, of course they're 0:00:25.680 --> 0:00:28.120 higher than ever. But what if I told you the 0:00:28.120 --> 0:00:31.200 truth is actually far more fascinating. In this video, I'm 0:00:31.200 --> 0:00:34.120 going to break down what Google Willow chip really is. 0:00:34.200 --> 0:00:36.640 We'll talk about the potential risks that opposes to bitcoin. 0:00:36.760 --> 0:00:39.400 If you're holding bitcoin, should you be worried? And we're 0:00:39.400 --> 0:00:42.919 going to look at other infrastructure that's at risk as well. Now, 0:00:42.920 --> 0:00:44.680 real quick, my name is Mark Boss. I've been making 0:00:44.680 --> 0:00:47.800 bitcoin content for over eight years. I'm a bitcoin focused 0:00:47.880 --> 0:00:50.479 venture capital investor, and in this video I'm going to 0:00:50.520 --> 0:00:52.760 share some of the same insights that I've learned and 0:00:52.800 --> 0:00:57.720 we use every single day. So let's go all right now, 0:00:57.760 --> 0:01:01.200 I've been making content specifically for bitcoin for now over 0:01:01.280 --> 0:01:04.480 eight years. And if I had just one dollar for 0:01:04.600 --> 0:01:07.800 every single time somebody told me, yeah, but quantum computing 0:01:07.880 --> 0:01:10.440 is going to destroy the whole thing. Well, I'd probably 0:01:10.480 --> 0:01:13.040 have well enough to buy one whole bitcoin. I've been 0:01:13.080 --> 0:01:15.000 asked that question a lot, and I would typically answer 0:01:15.080 --> 0:01:18.000 something like, yeah, well what about aliens? They could come 0:01:18.040 --> 0:01:19.920 destroy the world tomorrow too, if you want to deal 0:01:19.920 --> 0:01:23.319 with hypotheticals, because there is no quantum computing, right, that's 0:01:23.400 --> 0:01:27.559 my typical answer. But the ANSWER's changed because now quantum 0:01:27.600 --> 0:01:30.679 computing is here. So now rather than having to answer, 0:01:31.000 --> 0:01:34.440 you know, answer some hypothetical in the future, maybe threat 0:01:34.480 --> 0:01:36.880 like an astroid destroying the earth, now we have a 0:01:36.920 --> 0:01:39.520 real thing. So let's talk about that for a minute, 0:01:39.520 --> 0:01:41.640 because now let me answer this question for once and all, 0:01:41.680 --> 0:01:43.160 and then when people ask me all this said, then 0:01:43.200 --> 0:01:48.080 the video. Okay, so introducing Google's new Willow chip. Like 0:01:48.120 --> 0:01:51.640 I said, the first real quantum computing that we've had, 0:01:52.000 --> 0:01:55.440 the first real threat we have to break encryption, including 0:01:55.560 --> 0:01:58.560 the potentially Bitcoin's encryption. Okay, So, first of all, they've 0:01:58.560 --> 0:02:00.480 been working on this in a long time. Mule has 0:02:00.520 --> 0:02:04.200 basically cracked a thirty year challenge. They've been working on 0:02:04.240 --> 0:02:07.280 this for a really long time. Now, what quantum computing 0:02:07.320 --> 0:02:10.280 does is it allows computers to be way more powerful 0:02:10.400 --> 0:02:13.400 and allows them to process way more transaction. So if 0:02:13.440 --> 0:02:16.480 a computer is trying to guess a password, for example, 0:02:16.840 --> 0:02:19.600 like your typical twelve character password that might have one 0:02:19.639 --> 0:02:22.800 capital letter and one character, it could take a regular computer, right, 0:02:22.800 --> 0:02:25.640 don't on something like thirty five thousand years, but a 0:02:25.760 --> 0:02:28.880 quantum computer, because it could try so much faster, could 0:02:28.880 --> 0:02:31.760 break it in minutes potentially. Okay, So they've been working 0:02:31.800 --> 0:02:34.480 on this for over thirty years now. What they've been 0:02:34.480 --> 0:02:37.040 able to do, the breakthrough that they've had is as 0:02:37.080 --> 0:02:40.959 this quantum computer is processing transactions, it's able to reduce 0:02:41.040 --> 0:02:43.880 the errors, and because of that, they're able to scale 0:02:44.120 --> 0:02:46.440 these cubits. Okay, so this is sort of how they 0:02:46.560 --> 0:02:50.320 measure the speed and the processing power of these quantum computers. 0:02:50.400 --> 0:02:53.000 So this quantum computer is so fast it could crack 0:02:53.040 --> 0:02:55.720 a code in about five minutes that would take a 0:02:55.800 --> 0:03:00.720 regular computer ten septillion years. I don't even know what 0:03:00.760 --> 0:03:03.760 that is. Ten sip tillion years, which is ten to 0:03:03.919 --> 0:03:08.280 twenty fifth power or basically looks like this that many 0:03:08.360 --> 0:03:10.480 zeros haven't added them up. It's a really long time, 0:03:10.480 --> 0:03:14.359 ten million years. So this is a really fast innovation 0:03:14.440 --> 0:03:16.840 that Google's been able to do. Okay, so the question 0:03:16.960 --> 0:03:19.680 is then what will they do with this new power, 0:03:19.919 --> 0:03:21.840 and is it a threat to bitcoin and is it 0:03:21.840 --> 0:03:24.640 a threat to encryption overall. Let's break that down. So 0:03:24.680 --> 0:03:27.160 the first thing is we have to understand that bitcoin 0:03:27.280 --> 0:03:31.120 represents an entire shift in the way technology is built. 0:03:31.160 --> 0:03:32.639 You can be talk about this regularly if you watch 0:03:32.639 --> 0:03:36.600 my videos talking about the decentralized revolution. So what we 0:03:36.680 --> 0:03:40.480 have is that basically all of our databases experience Amazon, 0:03:40.600 --> 0:03:43.920 your bank, the central bank, cent they're all centralized databases. 0:03:44.040 --> 0:03:47.040 All the data sits in one central database and it's controlled, 0:03:47.080 --> 0:03:50.400 it's protected by the cybersecurity team. Versus Bitcoin has now 0:03:50.400 --> 0:03:54.280 introduced a decentralized database. And so really what we're witnessing 0:03:54.360 --> 0:03:59.440 is centralization versus decentralization. Now, besides the main aspect of 0:03:59.480 --> 0:04:03.800 one database versus many databases, we have different types of encryption. 0:04:04.080 --> 0:04:07.160 But let me just break down the centralized versus decentralized. 0:04:07.280 --> 0:04:09.720 So this is what's going on. The Internet actually started 0:04:09.760 --> 0:04:13.560 as a very decentralized ecosystem. As a matter of fact, 0:04:13.560 --> 0:04:16.120 when I launched my first internet business back in nineteen 0:04:16.200 --> 0:04:18.640 ninety nine, I had to have a server in my 0:04:18.800 --> 0:04:23.320 office with my own servers with raid hot, swappable hard drives, 0:04:23.320 --> 0:04:26.400 et cetera. Because there was no Amazon Cloud, there was 0:04:26.440 --> 0:04:28.120 nothing like that, so I had to run my own server. 0:04:28.240 --> 0:04:31.120 So at that time, the Internet was very decentralized. Everybody 0:04:31.240 --> 0:04:34.680 ran their own database right and uploaded directly to the cloud. 0:04:34.800 --> 0:04:37.440 But since then, what's happened as the Internet got very centralized. 0:04:37.520 --> 0:04:39.720 So now you log in with your Facebook ID or 0:04:39.760 --> 0:04:43.279 your Google ID. Everything sits on the Amazon Cloud. Everything 0:04:43.360 --> 0:04:45.559 runs through our Gmail or Google right, and so everything 0:04:45.560 --> 0:04:48.440 got centralized. The problem with centralized systems is we see 0:04:48.480 --> 0:04:54.680 how they're prone to fraud, manipulation, also break ins. We'll 0:04:54.680 --> 0:04:56.480 talk about that in a minute. Now, what we can 0:04:56.520 --> 0:04:59.120 see is where we're at as centralized systems are now 0:04:59.160 --> 0:05:01.000 starting to go down for many reasons I'm going to 0:05:01.040 --> 0:05:03.120 break down for you, and we're starting to see the 0:05:03.240 --> 0:05:06.039 rise now of decentralized systems. And so it's going to 0:05:06.040 --> 0:05:08.279 be a massive paradigm shift that will happen over the 0:05:08.279 --> 0:05:11.360 next twenty five thirty years. I talk about this quite often, 0:05:11.600 --> 0:05:14.200 but to break this down again, centralized versus de centralized again, 0:05:14.240 --> 0:05:17.360 So you have one database, your bank, Amazon experience, et cetera. 0:05:17.800 --> 0:05:19.320 And think of it like this, Like if you had 0:05:19.440 --> 0:05:22.320 one billion dollars in one bank, that's a really big target. 0:05:22.480 --> 0:05:25.159 There's a lot of people that would potentially break into 0:05:25.200 --> 0:05:27.520 that bank try to crack the code of that bank 0:05:27.560 --> 0:05:29.960 to get that billion dollars. But if I had a 0:05:30.000 --> 0:05:34.400 billion banks with one dollar each, what's the point. It's 0:05:34.480 --> 0:05:36.440 way too much work for me to go to each 0:05:36.480 --> 0:05:38.440 bank one by one and one and break into them 0:05:38.680 --> 0:05:40.640 to get one dollar at a time. A billion times 0:05:40.680 --> 0:05:43.040 that wouldn't do it. And that's the difference of centralized 0:05:43.200 --> 0:05:47.000 versus decentralized systems now in bitcoins specifically, that's dig into this. 0:05:47.040 --> 0:05:50.680 There's different types of encryption. So when you think of experience, 0:05:50.680 --> 0:05:51.960 and I'm going to talk about all some of the 0:05:51.960 --> 0:05:54.680 biggest breaks and as a matter of fact, the biggest database, 0:05:54.720 --> 0:05:57.080 most secure database in the world, was hacked. I'm going 0:05:57.120 --> 0:05:58.719 to tell you what that was in a second. We 0:05:58.760 --> 0:06:01.360 have to understand that all of the so centralized systems 0:06:01.600 --> 0:06:04.440 run a different type of encryption than bitcoin. So first'll 0:06:04.440 --> 0:06:06.000 talk about bitcoin, then we'll get to the rest. So 0:06:06.040 --> 0:06:09.120 a couple ways to think about this encryption. So database encryption, 0:06:09.200 --> 0:06:15.000 your typical database uses symmetric encryption algorithms like AES for example, 0:06:15.200 --> 0:06:19.960 advanced encryption standards. Now Bitcoin uses different encryption as a 0:06:19.960 --> 0:06:22.160 matter of fact that it uses two different types of encryption, 0:06:22.520 --> 0:06:26.479 and this primarily uses asymmetric cryptography. All right, So there's 0:06:26.560 --> 0:06:30.240 elliptical curve and there's Shaw two fifty six. Let me 0:06:30.279 --> 0:06:32.160 break those down for you, just so you can understand. 0:06:32.279 --> 0:06:34.279 I'm not going to go super deep into the weeds here. 0:06:34.400 --> 0:06:36.280 I want to give you the base information so you 0:06:36.320 --> 0:06:38.200 can understand this and at least sound intelligent if you 0:06:38.200 --> 0:06:40.360 want to have a conversation, and if you want go 0:06:40.440 --> 0:06:42.919 research this. If you're a computer nerd, you can go 0:06:42.960 --> 0:06:44.799 research this a little bit more. Okay, So the first 0:06:44.800 --> 0:06:48.680 thing is there's there's different parts of the Bitcoin network itself. 0:06:48.720 --> 0:06:51.040 There's Bitcoin the network, and there's Bitcoin the asset that 0:06:51.160 --> 0:06:54.800 moves on the network. And the Bitcoin network itself uses 0:06:55.040 --> 0:06:59.800 mining computers to process transactions. This is hashing, right, and 0:07:00.040 --> 0:07:03.280 then there's the transactions themselves, more of the nodes. We'll 0:07:03.279 --> 0:07:04.800 talk about that in a second. So the first is 0:07:04.839 --> 0:07:07.520 we have Bitcoin protocol and it uses the Shaw two 0:07:07.560 --> 0:07:09.720 fifty six. You might have heard of this before. This 0:07:09.840 --> 0:07:13.680 is for all hashing operations. So for the bitcoin mining, 0:07:13.720 --> 0:07:18.040 the processing computers to process the transactions, they mark them 0:07:18.040 --> 0:07:21.080 as a hash that's now saved in time in this 0:07:21.240 --> 0:07:23.480 block for everyone to see. All right. This is what 0:07:23.520 --> 0:07:26.000 we call proof of work, a proof of work mechanism. 0:07:26.280 --> 0:07:29.320 In order for a miner to submit a block to 0:07:29.400 --> 0:07:32.040 the network, the hash of the block must be below 0:07:32.200 --> 0:07:34.320 a certain threshold. So it's basically trying to figure out 0:07:34.360 --> 0:07:36.960 this code and if it gets that, then it will 0:07:36.960 --> 0:07:39.520 put that hash into the blockchain. All right. So for 0:07:39.600 --> 0:07:42.960 that we're using Shaw two fifty six encryption, all right. 0:07:43.000 --> 0:07:45.280 But we have another type of encryption as well, and 0:07:45.320 --> 0:07:48.640 this is for the signatory part. Okay, so for digital 0:07:48.720 --> 0:07:51.680 signatures and for bitcoin we use something else, and this 0:07:51.720 --> 0:07:57.120 is called a ec DSA, which is an elliptical curve cryptography. 0:07:57.200 --> 0:07:58.960 Let me, let me give you an analogy that maybe 0:07:58.960 --> 0:08:02.280 this will make sense for you. So with bitcoin and cryptocurrency, 0:08:02.400 --> 0:08:05.000 you never actually like download a coin. What you think 0:08:05.040 --> 0:08:07.480 of is like think of the blockchain, which is a database. 0:08:07.720 --> 0:08:10.840 Think of a blockchain database as like a digital locker system. Okay, 0:08:11.120 --> 0:08:14.160 and so like you have a public address of your locker, 0:08:14.200 --> 0:08:16.320 say C nineteen and I could say, hey, would you 0:08:16.360 --> 0:08:18.440 go to my locker and you know, slide that envelope 0:08:18.480 --> 0:08:20.040 into my locker for me. So I've given you my 0:08:20.160 --> 0:08:22.920 public address of the locker CE nineteen. You can go 0:08:23.000 --> 0:08:26.000 and put something into the locker. Everybody can see the locker. 0:08:26.040 --> 0:08:29.360 Everybody knows they're C nineteen right there. But then I 0:08:29.360 --> 0:08:31.520 have a private key where I could open the locker 0:08:31.760 --> 0:08:33.640 and get that envelope out and I can put into 0:08:33.640 --> 0:08:36.560 another one. And that's basically the way the blockchain database 0:08:36.600 --> 0:08:38.960 works as well. So we have a public address that 0:08:39.000 --> 0:08:41.960 everybody can see, and we can hash into those and 0:08:42.000 --> 0:08:45.079 people can see transactions from them. It's open, it's transparent. 0:08:45.400 --> 0:08:48.680 But then I have the private key to then move 0:08:48.720 --> 0:08:52.040 bitcoin from one wallet address to another wallet address, and 0:08:52.080 --> 0:08:53.480 so that's what we're talking about. So in order to 0:08:53.760 --> 0:08:55.800 move that bitcoin, I have to sign it. I have 0:08:55.840 --> 0:08:58.520 to give it my digital signature, and we're using a 0:08:58.520 --> 0:09:03.240 signature algorithm elliptical curve, and this allows a private key 0:09:03.640 --> 0:09:06.920 to sign any type of message. Digital signatures are frequently 0:09:07.000 --> 0:09:10.320 used to sign transactions and to send the bitcoin. Okay, 0:09:10.480 --> 0:09:12.520 So that's how it works. Now, the signature is published 0:09:12.760 --> 0:09:15.600 to the blockchain, so that any member of the Bitcoin 0:09:15.679 --> 0:09:19.560 network can verify it's transparent, so anyone can see this. 0:09:19.600 --> 0:09:23.760 We say, don't trust verify. Any member can verify that 0:09:23.840 --> 0:09:27.880 the signature, the public key, and the message match. So 0:09:27.960 --> 0:09:31.760 now we can achieve consensus. The whole network can agree 0:09:31.880 --> 0:09:35.360 that this happened because it's visible. Bitcoin is purely peer 0:09:35.400 --> 0:09:38.800 to peer, so it's moving from one wallet address to another, 0:09:38.880 --> 0:09:41.679 from my wallet to your wallet directly without going through 0:09:41.679 --> 0:09:46.560 an intermediary. Although miners process each transaction, they're unable to 0:09:46.679 --> 0:09:50.959 produce the valid signature for other people's bitcoins. So the 0:09:51.000 --> 0:09:53.640 miners are able to put the hash in the blockchain, 0:09:53.880 --> 0:09:56.440 but then you, with your private key, can sign that 0:09:56.480 --> 0:09:58.960 transaction to complete it. So those are the two different 0:09:59.000 --> 0:10:03.320 types of an decryption, and they are very difficult to correct. 0:10:03.400 --> 0:10:05.840 Let me give you a visual way this works. So 0:10:06.160 --> 0:10:09.160 this is private knowledge right here, says the private key. 0:10:09.480 --> 0:10:11.880 Only I would have the key to open my locker 0:10:12.000 --> 0:10:14.720 CE nineteen and the message. But this is all what's 0:10:14.760 --> 0:10:18.520 public knowledge. So the public key, that's C nineteen. Everybody 0:10:18.559 --> 0:10:22.439 knows the locker address, the address of that blockchain address. 0:10:22.840 --> 0:10:25.640 We have the signature, everybody would know that I signed it, 0:10:26.160 --> 0:10:28.360 and we would see the message hash going into the 0:10:28.400 --> 0:10:32.920 signature verification, so everybody can verify all of this. But 0:10:33.000 --> 0:10:36.319 again I only have my private key. Sorry, if this 0:10:36.360 --> 0:10:39.000 is elementary for some of you, and maybe this is 0:10:39.080 --> 0:10:40.199 over your head for some of the other of you. 0:10:40.480 --> 0:10:42.520 If you're more interested in this, again, there's a ton 0:10:42.559 --> 0:10:45.320 of resources. Just go google it. You can find that. Okay. 0:10:45.360 --> 0:10:47.480 So to understand if this quantum computing is really a 0:10:47.520 --> 0:10:50.160 threat to bitcoin, we want to go back in time 0:10:50.200 --> 0:10:52.000 a little bit. So we can go back to when 0:10:52.080 --> 0:10:55.640 bitcoin originated, back in like two thousand and nine, when 0:10:55.679 --> 0:10:58.880 on the message boards we had Satoshi interacting with other developers, 0:10:59.160 --> 0:11:03.000 and in those early messages we can see that Satoshi 0:11:03.200 --> 0:11:07.800 actually envisioned something like this happening and being becoming a problem. 0:11:07.960 --> 0:11:10.040 So we can see here on the message board Satoshi 0:11:10.080 --> 0:11:14.160 a founding senior member. This message is June fourteenth of 0:11:14.280 --> 0:11:17.760 twenty ten. So at that time, when Bitcoin was just 0:11:17.880 --> 0:11:20.880 coming out being introduced, they already were asking but what 0:11:20.960 --> 0:11:23.400 about quantum computing? The same questions have been asked, you 0:11:23.440 --> 0:11:25.520 know whatever, one hundred thousand times. Now at the time 0:11:25.559 --> 0:11:28.319 they didn't have quantum computing. But here's what Satoshi said. 0:11:28.640 --> 0:11:31.360 He said that SHAW two fifty six from the bitcoin 0:11:31.440 --> 0:11:35.880 hashing encryption. SHAW fifty six is very strong, he said, 0:11:35.880 --> 0:11:37.800 It's not like the incremental step from MD five to 0:11:37.840 --> 0:11:41.040 SHOT one. It can last several decades. This is in 0:11:41.080 --> 0:11:44.120 twenty ten. He said that unless there's some massive breakthrough attack, 0:11:44.160 --> 0:11:46.920 which there hasn't been, if SHAW two fifty six became 0:11:47.040 --> 0:11:50.560 completely broken, which potentially could happen with Willow and I'm 0:11:50.559 --> 0:11:52.920 going to tell you what that timeframe looks like. If 0:11:53.240 --> 0:11:56.440 it becomes completely broken, we could come to some agreement 0:11:56.720 --> 0:12:00.320 about what the honest blockchain was before the trouble starts guarded, 0:12:00.840 --> 0:12:04.600 and then we could continue from there. Hey, small business owner, 0:12:04.800 --> 0:12:07.560 are you buried in all types of work keeping you 0:12:07.600 --> 0:12:10.199 from the real thing that makes you money? Well that's 0:12:10.200 --> 0:12:12.199 where Just Works comes in. They're the all in one 0:12:12.240 --> 0:12:15.560 platform that supports small business growth. You can get all 0:12:15.640 --> 0:12:18.840 their tools that help with benefits like payroll and HR 0:12:18.960 --> 0:12:23.000 and compliance with transparent pricing. Now they help you hire 0:12:23.040 --> 0:12:27.720 top talent internationally, internew markets, quickly scale international operations without 0:12:27.720 --> 0:12:30.800 the workload, and forevery how do I do it? Question? 0:12:30.960 --> 0:12:33.320 You can reach out to their expert staff from sole 0:12:33.400 --> 0:12:37.280 proprietor or a team of twenty Just Works empowers all 0:12:37.360 --> 0:12:41.120 kinds of small businesses with real human support. So visit 0:12:41.320 --> 0:12:44.880 justworks dot com slash podcast to join the thousands of 0:12:44.880 --> 0:12:49.520 small businesses that trust just Works to take care of payroll, benefits, compliance, 0:12:49.600 --> 0:12:55.360 and more. Again that's Justworks dot com slash podcasts. If 0:12:55.360 --> 0:12:58.240 the hash breakdown came gradually, so at this point, it's 0:12:58.240 --> 0:13:00.440 coming gradually. Again, I'll give you that time for a minute. 0:13:00.520 --> 0:13:02.679 If it comes gradually, which it is, we could then 0:13:02.720 --> 0:13:06.640 transition to a new hash in an orderly way. So 0:13:06.800 --> 0:13:08.880 already in twenty ten, they were being asked what about 0:13:08.920 --> 0:13:11.320 quantum computing, and they said, hey, well cool, when we 0:13:11.320 --> 0:13:14.360 have quantum computing that could break this encryption, then we 0:13:14.440 --> 0:13:18.080 can also use it to create a new encryption style. 0:13:18.400 --> 0:13:20.920 You see. So he was already predicting this, and so 0:13:21.000 --> 0:13:24.040 these developers were already thinking about this. Now let's talk 0:13:24.080 --> 0:13:27.800 about the timeframe. So the main takeaway is one they 0:13:27.800 --> 0:13:30.320 started to think about this right away. Number two, Bitcoin, 0:13:30.440 --> 0:13:34.920 as this decentralized technology was designed to evolve. We don't 0:13:34.960 --> 0:13:36.920 know what's going to happen over the next one hundred years, 0:13:37.040 --> 0:13:40.559 the next thousand years, but Bitcoin was designed to evolve 0:13:40.679 --> 0:13:44.360 with those times. Now, the developers have been aware of 0:13:44.360 --> 0:13:46.280 this for a really long time, as I said, back 0:13:46.280 --> 0:13:49.960 to twenty ten. But again, how fast is this coming? 0:13:50.080 --> 0:13:52.160 Could it catch them off guard? Like he said, even 0:13:52.160 --> 0:13:54.600 if it did, we could do something about it. But 0:13:54.640 --> 0:13:56.839 also if we have more time, we can do it orderly. Okay, Well, 0:13:56.840 --> 0:14:00.480 here's Google's timeline. Here's a timeline of Google's quantum processors, 0:14:00.520 --> 0:14:03.520 including their release yars and cubits. So remember the cubit 0:14:03.600 --> 0:14:06.320 measures how powerful that quantum computing it is. So they 0:14:06.360 --> 0:14:09.480 had foxtail in twenty sixteen, it was twenty two today, 0:14:09.559 --> 0:14:11.640 let's just fast forward to Willow twenty twenty four one 0:14:11.720 --> 0:14:15.080 hundred and five cubits, which okay, from twenty two to 0:14:15.200 --> 0:14:16.840 one hundred and five, you can do the maths about 0:14:16.840 --> 0:14:19.360 a five times upgrade. Well, the question that you would 0:14:19.360 --> 0:14:22.280 ask is how many cubits would you need to get 0:14:22.280 --> 0:14:25.280 to become a threat to bitcoin. Well, what we can 0:14:25.320 --> 0:14:27.720 see again, there's two different types of encryption. But for 0:14:27.800 --> 0:14:32.000 the elliptical curve, for the Digno digital signature, we're going 0:14:32.080 --> 0:14:38.840 to need about ten thousand million cubits. The same for 0:14:38.920 --> 0:14:41.400 Show two fifty six we need one thousand to fifteen 0:14:41.440 --> 0:14:44.280 hundred logical, but the physical would need to be somewhere 0:14:44.320 --> 0:14:47.400 between one thousand to ten thousand per logical cubit. So 0:14:48.000 --> 0:14:51.480 basically we're we've already five x in a decade, but 0:14:51.560 --> 0:14:54.040 now we're going to need to go way beyond that. 0:14:54.320 --> 0:14:56.080 So what does that mean as far as timeframe, Well, 0:14:56.120 --> 0:14:58.720 based off of this, knowing that things don't move linear, 0:14:58.720 --> 0:15:02.200 they probably move exponentially, we're somewhere in the ten to 0:15:02.400 --> 0:15:05.960 twenty year range before it becomes a threat to bitcoin. 0:15:06.000 --> 0:15:09.120 Now again, it gives this ten to twenty years, which 0:15:09.160 --> 0:15:11.160 is a big range because it could move exponentially, but 0:15:11.240 --> 0:15:13.160 we're already aware of this and we can already start 0:15:13.200 --> 0:15:16.320 to move in an orderly fashion. Okay, So just summarizing 0:15:16.360 --> 0:15:19.960 this for you for Bitcoin's future in regards to quantum 0:15:19.960 --> 0:15:23.400 computing and the risk that's there. Number one, Yes, quantum 0:15:23.400 --> 0:15:26.400 computing is it's coming. It's actually here, right, So it's here, 0:15:26.600 --> 0:15:29.040 but it's going to take time to evolve somewhere. Like 0:15:29.040 --> 0:15:31.640 I said, ten to twenty years, and we can move ahead. Again, 0:15:31.680 --> 0:15:36.520 Bitcoin's designed to adapt and to evolve in this and 0:15:36.560 --> 0:15:39.480 again we have this timeframe, so all the developers are 0:15:39.600 --> 0:15:42.440 already working on solutions for this, which will be in 0:15:42.480 --> 0:15:46.120 place well before this happens. Okay, so that's it for bitcoin. 0:15:46.200 --> 0:15:47.840 But the one thing that I would always say to 0:15:47.840 --> 0:15:50.800 anybody would ask me about what about quantum computing destroying bitcoin? 0:15:50.840 --> 0:15:53.840 As I'd say, well, there's probably plenty of other high 0:15:53.960 --> 0:15:56.800 value targets they could go after. So why go after 0:15:56.880 --> 0:15:58.720 the small little asset like bitcoin which is now about 0:15:58.760 --> 0:16:00.840 two tillion dollars when you can go after the world 0:16:01.240 --> 0:16:05.960 like national security, toppling governments? What about Department of Defense? 0:16:05.960 --> 0:16:09.160 What about taking over the military, the weapons, the nuclear weapons, 0:16:09.160 --> 0:16:11.760 all of that. What about central banks, I mean printing 0:16:11.800 --> 0:16:15.240 yourself unlimited amounts of money and credit or Wall Street 0:16:15.240 --> 0:16:18.640 the finance you know, traditional banking, wiping out loans, giving 0:16:18.680 --> 0:16:21.920 yourself loans, etc. And of course there's corporate espionage and 0:16:21.960 --> 0:16:23.640 all that, and I want to show you some examples 0:16:23.680 --> 0:16:26.000 of that. But just real quick going back to bitcoin 0:16:26.040 --> 0:16:29.000 for a second, thinking about game theory playing out, why 0:16:29.040 --> 0:16:31.480 would somebody first, who would they be and why would 0:16:31.480 --> 0:16:33.840 they want to attack bitcoin? Well, you could say I'd 0:16:33.880 --> 0:16:35.760 be the governments want to shut it down. But with 0:16:35.800 --> 0:16:39.760 the United States, Russia, China all moving to now adopt bitcoin. 0:16:39.840 --> 0:16:41.520 I don't think they would do that. So then you 0:16:41.520 --> 0:16:43.560 would say, well, it would be some high level crook 0:16:43.560 --> 0:16:45.800 that would want to steal a lot of the bitcoin. Well, 0:16:45.880 --> 0:16:48.080 number one, they'd make way more money attacking one of 0:16:48.120 --> 0:16:50.560 these other networks, but more important than number two. If 0:16:50.640 --> 0:16:53.120 they did that and they you know, hacked into bitcoin 0:16:53.160 --> 0:16:55.640 wallets or whatever, and they stole a bunch of bitcoin, 0:16:56.440 --> 0:16:58.920 they'd basically make all that bitcoin they just sold worthless 0:16:59.080 --> 0:17:01.520 because if you could have the bitcoin network, then it 0:17:01.520 --> 0:17:04.360 would make it worthless because it's all about the security 0:17:04.440 --> 0:17:07.359 they have, and so by hacking into it and stealing 0:17:07.400 --> 0:17:10.040 it becomes worthless. They'd be much better off doing some 0:17:10.080 --> 0:17:11.760 of these other high value targets. And let's take a 0:17:11.800 --> 0:17:15.120 look at that. We can already see even without quantum computing, 0:17:15.119 --> 0:17:16.520 and how big of a problem this is. So I'll 0:17:16.560 --> 0:17:18.240 tell you how big it will be in the future. 0:17:18.400 --> 0:17:21.800 We can see fintech. Forty five of the top fifty 0:17:21.880 --> 0:17:25.439 banks have already confirmed being hacked and having their data stolen. 0:17:25.680 --> 0:17:29.560 Forty five of the top fifty banks they cannot keep 0:17:29.600 --> 0:17:32.399 their network secure. Let's talk about some of the biggest 0:17:32.440 --> 0:17:35.560 ones we've had in recent time. You might remember Equifax. 0:17:35.600 --> 0:17:37.479 It was one of the largest breaches in US histrius 0:17:37.520 --> 0:17:41.480 is twenty seventeen, one hundred and forty three million people, 0:17:41.520 --> 0:17:44.440 about almost half the population of the United States were affected. 0:17:44.520 --> 0:17:47.679 And what did they get? They got everything social security numbers, 0:17:47.720 --> 0:17:51.080 birth dates, addresses, driver's license, everything you need to go 0:17:51.119 --> 0:17:52.800 set up credit in somebody's name for one hundred and 0:17:52.800 --> 0:17:57.200 forty three million people. Honeypots. First American Financial Corporation twenty nineteen, 0:17:57.240 --> 0:18:00.119 eight hundred and eighty five million records, eight hundred eighty 0:18:00.200 --> 0:18:02.960 five that's multiple times the size the United States. Again, 0:18:03.080 --> 0:18:06.080 solid security numbers, mortgage paperwork, all the things you need 0:18:06.119 --> 0:18:09.200 to go set of credit in somebody else's name. Honey Pots. 0:18:09.520 --> 0:18:12.040 That's worth way more money. What about this? We have 0:18:13.000 --> 0:18:16.720 another really big one back here NPD National Public Data 0:18:16.720 --> 0:18:20.520 twenty twenty four This was very recently. Two point nine billion, 0:18:20.920 --> 0:18:24.119 two point nine billion personal records exposed, names, addresses, birthdate, 0:18:24.160 --> 0:18:29.399 SoC security numbers, nearly every American. Again, that's important data. 0:18:29.840 --> 0:18:34.080 Yahoo breaches twenty thirteen, twenty fourteen, three billion, five hundred million. 0:18:34.280 --> 0:18:36.120 This is a big one, most important one. I think 0:18:36.119 --> 0:18:38.800 this is the biggest one in history. Is called CAM 0:18:38.880 --> 0:18:41.880 four breach. This happened in twenty twenty ten point eight 0:18:42.280 --> 0:18:45.199 billion records, almost eleven billion records. I didn't know what 0:18:45.200 --> 0:18:46.600 this one was. I had to go look it up, 0:18:46.840 --> 0:18:49.400 and it's the largest data breach in history, a number 0:18:49.440 --> 0:18:53.080 of records, and this is one of the largest adult websites, 0:18:53.320 --> 0:18:58.560 and they got people's sexual preferences and browsing history and emails. 0:18:58.840 --> 0:19:01.040 I mean, this led to a massive problem for people 0:19:01.040 --> 0:19:03.879 that use those things, and lots of other breaches. But 0:19:04.280 --> 0:19:07.720 if you think that's bad, not just all of those equifacts, 0:19:08.000 --> 0:19:12.280 not just adult websites, not just NDB public records, not 0:19:12.359 --> 0:19:16.359 just that. How about supposedly the number one hacking companies, 0:19:16.640 --> 0:19:19.359 supposedly the safest computer network in the world. I'm talking 0:19:19.400 --> 0:19:24.920 about the NSA themself. The US Security Agency were hacked, 0:19:24.960 --> 0:19:27.920 it says here shadow brokers leak raised alarming questions. Was 0:19:27.960 --> 0:19:32.199 the NSA hacked? And the answer is yes, it was, 0:19:32.640 --> 0:19:35.960 And so every single computer network is being hacked. The 0:19:36.040 --> 0:19:39.119 NSA was hacked. Bitcoin can't be. So if quantum quantum 0:19:39.160 --> 0:19:41.119 computer it is here, which I already showed you it is, 0:19:42.320 --> 0:19:45.199 there's a big problem. And so we have all of 0:19:45.200 --> 0:19:49.240 our infrastructures risks from water systems, to energy systems, to 0:19:49.440 --> 0:19:53.400 weapons systems, to banking systems. Everything has at risk right now, 0:19:53.640 --> 0:19:55.479 and so this is opening up a massive problem as 0:19:55.480 --> 0:19:57.199 well as a math for opportunity. Now I want to 0:19:57.200 --> 0:20:00.240 go into a sponsored part of this video here talk 0:20:00.240 --> 0:20:02.240 about a sponsor, but this is to highlighting a big 0:20:02.280 --> 0:20:07.000 potential opportunity. Okay, So with quantum computing already here again 0:20:07.040 --> 0:20:11.320 it's about one billion times faster than regular computing, they're 0:20:11.359 --> 0:20:15.160 now able to crack all the security, guessing people's passwords. 0:20:15.359 --> 0:20:19.760 Basically they could break into any database. So now cybersecurity 0:20:19.880 --> 0:20:22.160 needs to be upgraded. It's sort of like the race 0:20:22.200 --> 0:20:24.480 with viruses, right, So a new virus comes out, we 0:20:24.520 --> 0:20:26.760 need to update our antivirus software. And so now if 0:20:26.800 --> 0:20:29.119 we have new hacking tools, we have to upgrade the 0:20:29.119 --> 0:20:31.760 tools we'd use to prevent the hackers from getting in. 0:20:31.960 --> 0:20:34.159