#XmasCryptoMiracles Quantum computing overturns the “lost bitcoins” myth
For years, bitcoin proponents held the view that some of the 21 million coins were irretrievably lost, having been permanently locked away in wallets with forgotten keys. These lost coins were seen as an additional reduction in circulating supply, making bitcoin even more scarce. But what if that's not quite the case?
The rise of quantum computing and breakthroughs in cryptographic methods have led to speculation that no bitcoin is actually “lost.” As computing power advances, the security underlying the oldest bitcoin key pairs, created using what may soon become obsolete cryptography, may be compromised.
On the one hand, bitcoin developers are well-prepared to implement protocol updates that will protect active wallets. However, long-abandoned wallets, like those of Satoshi Nakamoto and others who are unlikely to convert to new encryption schemes, could become targets.
Quantum computing may be so advanced that “key miners” can derive private keys from public keys, effectively hacking these forgotten wallets. These actions will bring dormant bitcoins back into circulation already through new owners.
One day, the hunt for such old wallets may become a competitive market, changing the understanding of dormant wallets. In this case, they will turn into wallets that will be unlocked by treasure hunters sooner or later.