The German-born programmer and crypto trader forgot the password to unlock his digital wallet, which contains 7,002 bitcoin, now worth $265 million.
Though quantum computing is still very much in its infancy, governments and private-sector companies such as Microsoft and Google are working to make it a reality.
“Every single financial institution, every login on your phone — it is all based on asymmetric cryptography, which is susceptible to hacking with a quantum computer,” Thiel said.
“If I was dealing in fear-mongering …
Once a newly standardized post-quantum secure cryptography is built, Groetker said, the process of mass migration will begin.
However, this kind of upgrade in security requires users to be proactive.
“Not everybody, regardless of how long it takes, will move their funds in time,” said Groetker.
For example, an organization could lock down all accounts still using the old type of cryptography and give owners some way to access it.