The world has been using money for thousands of years. It’s the most reliable and efficient way to move and store wealth.
Starting with shells and stones, then moving to metals, cash, the digital age, crypto, and it just keeps progressing. But one thing is for certain: the world financial system is broken.
It’s a complex, slow and expensive mess that doesn’t work for anyone but the insiders.
The gap between the rich and poor keeps growing and the traditional financial system is becoming increasingly irrelevant.
Empires are notorious for their debasing of currency. It means nothing to them, except for the hold they have over you.
Every civilization in history that attempted to protect it’s wealth with sound money has been financially victimized and had their wealth stolen from them by the repeated process of counterfeiting currency.
It’s time for something new.
A new financial system is tearing down the old one and shaping up to be a better one.
That’s where quantum comes in. The quantum financial system is designed to empower the people. It’s based on trust, transparency and security.
The quantum financial system is disrupting the world financial system by offering a new, quantum safe financial model that works for everyone. At least that’s what we are being sold.
In this article, I will explain the basics of the quantum financial system and how it can help to solve some of these problems we still face.
Quantum financial system
The quantum financial system is a positive development that has been years in the making.
The quantum financial system (QFS) is an innovative financial technology that opens up the world of money like never before.
Quantum finance is all about quantum-safe blockchain encryption, quantum computing and quantum cryptography.
According to the IMF: “Quantum computers can revolutionize industries and fields that require significant computing power, including modeling financial markets, designing new effective medicines and vaccines, and empowering artificial intelligence, as well as creating a new and secure way of communication (quantum Internet).”
The quantum financial system uses blockchain technology to democratize wealth creation and quantum cryptography to keep your money safe.
This technology enables banks and businesses to send data over a quantum network, which is impossible to hack.
The quantum financial system is based on two quantum computers, which work together to create a quantum network.
The quantum financial system is much faster and more efficient than the traditional financial system.
It’s also cheaper, because there are no middlemen or transaction fees. If you’re familiar with crypto you’ve heard that before.
Risks and real threats
At a Congressional hearing in May 2021, CEOs from six of the largest banks were asked to name the greatest threat to the financial system, and overwhelmingly they responded ‘cybersecurity’.
The push toward open banking and shared networks creates the potential for cascading financial disruptions on an unprecedented scale.
Furthermore, the rapid advancement of quantum computing threatens to exponentially exacerbate the already critical issues of cybersecurity for financial institutions.
Quantum money vs cryptocurrency
The fundamental difference between the two is that bitcoin relies on a 0-1 system, whereas quantum money systems make use of ‘quantum bits’ or ‘qubits,’ which are less susceptible to hacking.
When quantum computing becomes an integral part of the quantum financial system, quantum money is expected to be much safer than cryptocurrencies like bitcoin.
What will happen to crypto?
Quantum money systems will be quantum safe and quantum computing will lead to quantum Internet which is expected to be much faster than the current internet.
Crypto is staying as it has demonstrated the power of decentralization and community consensus, but it’s unlikely to stand toe-to-toe with quantum technology.
This is a key concern for the crypto businesses. Some of them are working to make their blockchain quantum hack resistant.
Network contagion effects
Research at the Hudson Institute’s Quantum Alliance Initiative indicates that the cost of a quantum computer attack on our financial system would be catastrophic—far more than a successful conventional cyberattack.
A quantum computer attack could impair nearly 60% of total assets in the banking system due to bank runs and endogenous liquidity traps.
Action plan
Quantum computing came into play as many financial players saw its potential to solve critical financial problems.
On Wednesday,15 September 2021, QuSecure held a webinar to learn how quantum computers are creating significant risks to our finance and banking infrastructure. We covered practical and currently available post-quantum cybersecurity solutions to thwart quantum and classical attacks on our financial systems.
The notion of quantum computing and currency may seem far-fetched, but we’ll be using it faster than you think. It’s a perplexing yet fascinating trend in the world of finance. The fact that it is presently being researched indicates how significant it could be in the future.