Is the Financial Sector Prepared for the Imminent Quantum Threat?

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Europol has urged the financial services sector to start preparing for the shift to quantum-safe cryptography to counter the growing risk of “store now, decrypt later” (SNDL) attacks. These attacks involve threat actors stealing encrypted data today, expecting future quantum computers to decrypt it. While cryptographically relevant quantum computers (CRQCs) are still a decade away, accelerating research and investment could shorten this timeline. Europol’s Quantum Safe Financial Forum (QSFF) outlined five key recommendations to ensure financial institutions transition securely.

Key Takeaways:

1. Urgency in Transitioning to Quantum-Safe Cryptography:

   • Financial institutions must act now to safeguard against future quantum threats, prioritizing quantum-resistant encryption methods.

2. Improved Stakeholder Coordination and Cross-Border Collaboration:

   • Policymakers, regulators, and the private sector must align their roadmaps and implementation strategies to ensure a smooth transition.

3. Adoption of a Voluntary Quantum-Safe Framework:

   • A voluntary regulatory framework can drive quantum-safe initiatives, standardization, and cryptographic resilience.

4. Hybrid Encryption Strategy Recommended:

   • Organizations should run post-quantum cryptography alongside traditional encryption during the transition period to maintain security continuity.

Click to read more: Infosecurity-magazine