Banks and Regulators Test Quantum Security for Crypto Transfers

Banks and financial regulators across Europe, the Middle East and Asia have joined a pilot program testing quantum-resistant infrastructure for digital asset wallets and blockchain-based transfers. The initiative was announced on Monday by the Responsible Fintech Institute (RFI) and crypto custody infrastructure provider Safeheron.

The pilot uses a multiparty computation protocol that supports ML-DSA-65, a post-quantum digital signature standard developed by the US National Institute of Standards and Technology. Testing is being carried out on a quantum-resistant NEAR testnet.

Banks and regulators join cross-regional pilot

According to RFI, participating regulators include Abu Dhabi Global Market, Bhutan’s Gelephu Financial Services Office and Malta’s Financial Services Authority. Bison Bank and DK Bank are taking part as financial institutions.

The banks will test wallet creation and digital asset transfers within a shared application environment. Regulators will initially observe the first phase of the project before contributing to a separate governance workstream later. The level of participation will vary between the institutions involved.

Pilot targets post-quantum security

The organizers plan to publish a white paper outlining the research, protocol architecture and findings from the tests. They also intend to make the underlying technology open source at a later stage, potentially allowing other financial institutions and developers to experiment with or build on the infrastructure.

The project is designed to examine how financial institutions could protect digital asset systems from future quantum-computing threats, particularly those capable of weakening widely used public-key cryptography.

Financial sector prepares for quantum risks

The pilot comes as regulators and financial institutions increasingly prepare for the potential security implications of quantum computing. The Hong Kong Monetary Authority has set a goal of making the city’s banking sector fully prepared for quantum-related cybersecurity risks by 2030.

Separately, a 2025 paper from the Bank for International Settlements urged financial institutions to begin coordinated and phased transitions toward post-quantum security systems rather than waiting until quantum threats become immediate.

Sources:

https://www.prnewswire.com/apac/news-releases/consortium-launches-cross-regional-pilot-on-post-quantum-security-with-participation-from-banks-and-regulatory-stakeholders-302857692.html

https://cointelegraph.com/news/banks-regulators-quantum-resistant-crypto-pilot