Cardano Founder: Bitcoin’s Solution to Quantum Threat Requires a Hard Fork
April 17, 2026
Charles Hoskinson, the founder of Cardano, expressed concerns about Bitcoin’s proposed quantum fix, BIP 361, suggesting that it would lead to the confiscation of 1.7 million BTC. He argued that the proposal was misrepresenting the extent of the changes needed to implement it effectively.
In a recent livestream, Hoskinson, a co-founder of Ethereum and an early Bitcoin adopter, highlighted data that indicated over 34% of all Bitcoin in circulation had exposed public keys vulnerable to quantum computing attacks as of March 1, 2026. This vulnerability, he warned, could potentially put 8 million BTC at risk of being accessed by attackers with quantum computers.
Hoskinson criticized BIP 361, which was authored by Bitcoin developers such as Jameson Lopp and Ian Smith, for categorizing its fix as a soft fork when, in reality, it required a hard fork. He emphasized that Bitcoin had never executed a hard fork before and questioned the feasibility of implementing such changes without significant disruptions to the network.
The proposal recommended freezing quantum-vulnerable funds and prompting users to transition to post-quantum addresses. However, Hoskinson pointed out that the proposed zero-knowledge proof recovery system in BIP 361 would not be effective for approximately 1.7 million BTC held in wallets predating certain industry standards from 2013. This included what is believed to be Satoshi Nakamoto’s holdings of around 1.1 million BTC, which could not be recovered using the proposed system.
Hoskinson highlighted the lack of on-chain governance in Bitcoin as a major obstacle in addressing the quantum problem. He contrasted Bitcoin with blockchains like Cardano, Polkadot, and Tezos that have formal governance mechanisms enabling them to make protocol-level decisions through community votes.
To resolve the quantum issue, Hoskinson suggested that Bitcoin developers would need to consider a full hard fork, modernizing the protocol and potentially bringing in new technical leadership to navigate these changes effectively. He also warned that without decisive action, Bitcoin could face the risk of quantum-capable attackers draining vulnerable addresses and dumping a significant portion of the total supply onto the market.
In light of increasing institutional interest in Bitcoin, Hoskinson speculated that institutions like Blackrock and the U.S. government, as reported strategic reserve holders, could exert pressure on Bitcoin developers to address the quantum threat, potentially influencing the direction of the network’s development.
Ultimately, Hoskinson emphasized the importance of proactive decision-making and urged Bitcoin developers to prepare for potential hard fork scenarios to safeguard the network’s integrity and security in the face of quantum computing advancements.
