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'We are in a 2-5 year shot clock’ to crack Bitcoin, warns billionaire C. Palihapitiya

Author: Content Editor
Chamath Palihapitiya, founder and CEO of venture capital firm Social Capital, believes that the encryption framework underpinning Bitcoin (SHA-256) could be cracked in the next two to five years due to advancements in quantum computing. Google's introduction of the Willow quantum computing chip with 105 qubits is seen as a significant development in this area. However, there are challenges in scaling the technology. Palihapitiya noted that Bitcoin and other blockchain networks must adapt and potentially reimplement core cryptographic frameworks. He expressed optimism that advances in quantum computing could lead to the development of new encryption methods resistant to quantum attacks. Some players believe that Satoshi's early-mined Bitcoin is a vulnerability due to an outdated encryption format, while others argue that Bitcoin is unlikely to be compromised within the next decade. The news briefly spooked the cryptocurrency market, resulting in the liquidation of $1.6 billion, but Bitcoin has since recovered and is trading at $102,203. The community has time to adapt and implement resistance measures against quantum computing threats.

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