Quantum computing will profoundly transform many sectors, including banking and payments. This implies many challenges, especially in terms of security: public key algorithms can be easily broken by a sufficiently powerful quantum computer, and hackers are probably busy preparing for the future by collecting encrypted data.
As part of Cybersecurity Week in Luxembourg, the ABBL and Accenture hosted a joint conference on quantum computing for the financial sector, addressing security threats and mitigation measures.
What risk for banks?
Banks are not particularly vulnerable today. Existing publicly known quantum computers do not have the processing power to break a cryptographic algorithm, and some cryptographic algorithms are expected to remain secure for at least 20 years. However, future versions of strong quantum computers will be able to solve mathematical problems used in the most common form of modern encryption, public-key cryptography. This is a major threat for which banks need to prepare.
Next steps
Some concrete steps :
- Make an inventory of the cryptographic landscape.
- Migrate to hybrid or fully quantum-resistant algorithms.
- For the card payment infrastructure, develop a fallback to classical cryptography.
Post-quantum cryptography risks require action at both the individual institutional and collective levels. The ABBL is closely monitoring developments in quantum computing, industry standards and regulatory initiatives.
If you missed this conference or would like to see it again, contact us to receive the link to the video – reserved for ABBL Members.