BitGo Adds Quantum-Risk Controls To Bitcoin Custody

BitGo Holdings, Inc. (NYSE: BTGO) introduced a set of tools to help institutions measure and reduce the quantum-computing risk tied to their Bitcoin holdings. The digital asset infrastructure company said the features apply to UTXO-based wallets and its multi-signature custody service.

The release builds on BitGo’s multi-signature architecture, which the firm pioneered for Bitcoin to reduce single points of failure. The new controls give clients more visibility into wallet-key exposure, better handling of unspent transaction outputs, and workflows for institutional wallet operations.

At the center of the launch is a Quantum Risk Score, an in-platform system that rates potential quantum exposure across supported Bitcoin wallets. A Fix Exposed Addresses Workflow guides clients through moving funds from addresses with elevated exposure into new addresses with stronger key hygiene. 

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A new UTXO Selection Method groups and prioritizes coins by address to limit the exposure that partial spends create. Updated default address-type controls steer wallets away from transaction patterns that raise quantum concerns.

Bitcoin could face quantum attacks

The risk stems from how Bitcoin addresses work. An address whose public key has appeared on-chain could, in a future with capable quantum machines, face attack. 

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Estimates place 6.9 million Bitcoin in addresses with exposed public keys. Funds in address types that reveal a public key from creation, such as Taproot or Pay-to-Public-Key, fall outside the scope of the application and need separate remediation.

“We believe the safest key is one whose public key has never been revealed on-chain,” said Mike Belshe, CEO and co-founder of BitGo. “These capabilities give institutions a practical way to understand and reduce quantum exposure while continuing to rely on the proven security of multi-signature.”

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BitGo said no quantum computer can break Bitcoin at present. Adam Back, co-founder and CEO of Blockstream and BSTR, framed the timing as a reason to act. “Nobody has a quantum computer that can touch Bitcoin today, but that’s exactly why the work should start now, while it’s calm and optional rather than urgent and forced,” he said.

The company described the tools as a complement to future protocol-level post-quantum signature upgrades to Bitcoin, rather than a replacement. 

The features cover supported UTXO-based assets and multi-signature configurations.

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