（Original article in Japanese was published for FinTech Journal on Sep. 6, 2024）
https://www.sbbit.jp/article/fj/147468

The article discusses the impact of quantum computing on the financial sector, focusing on the development of post-quantum cryptography standards by the National Institute of Standards and Technology (NIST) in the United States. In August 2024, NIST officially recognized three post-quantum cryptographic algorithms as Federal Information Processing Standards (FIPS), marking a significant step toward securing future financial transactions from the potential cyber threats posed by quantum computers.

Quantum computers, unlike classical computers, can perform complex calculations much faster, potentially solving encryption methods that protect financial data today. This could lead to vulnerabilities in areas such as transaction security, privacy protection, and fraud detection. However, they also offer opportunities in finance, such as improving investment performance, risk management, predictive accuracy, and fraud detection.

The three newly standardized cryptographic algorithms—CRYSTALS-Kyber, CRYSTALS-Dilithium, and SPHINCS+—are designed to resist quantum-based attacks. The article also discusses the future release of a fourth algorithm, FALCON, in late 2024, and the role of Quantum Key Distribution (QKD) in securing communications against eavesdropping.

Financial institutions are urged to transition to these new cryptographic methods to protect against the long-term risks associated with quantum computing, though widespread implementation will take time. Particularly, current timestamps may be compromised in the future if the quantum computer would decode the cryptographic algorithms in the future.

“IBM Quantum System One,” a quantum computer installed in Japan, and the author.