JP Morgan Chase and Quantum Computing

Cybersecurity, encryption and the panic of National Defense sectors

JULY 28TH, 2022 2:05 PM MONTREAL, CANADA

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Hey Guys,

Fair warning, this is a topic well above my pay grade and is just a preliminary exploration of the difficult but important security and business reality we are today facing. I’m not an expert in any of these fields and just a lay bystander who is curious.

That’s being said, let’s get into it:

How expensive will enhanced cryptography for the quantum era become? Banks are cautiously preparing to implement new encryption algorithms that will protect against hackers using quantum computing to crack their code.

JP Morgan Chase is a bank that does R&D like a Technology company. So how they approach Quantum computing is telling.

A six-year quantum cryptography competition just ended, producing four new security standards selected by the U.S. Department of Commerce’s National Institute of Standards and Technology.

Banks are Doing R&D Around Encryption for the Future

JPMorgan Chase has hired a quantum-computing expert to be the bank’s global head for quantum communications and cryptography. They recently hired scientist Charles Lim to help protect financial system from quantum-supremacy threat.

New companies like Sandbox AQ, who appear to specialize in this, are going to have a lot of potentially big customers, it’s going to be so lucrative. Even the the Central Intelligence Agency’s (CIA) venture capital firm has invested in Sandbox AQ, a Google software spinoff that is focused on harnessing artificial intelligence and quantum science.

With companies like Apple and Amazon getting increasingly into Banking, the JP Morgan’s’ of the world need to watch out. In February, 2022 in groundbreaking research, JPMorgan Chase, Toshiba and Ciena have demonstrated the full viability of a first-of-its-kind Quantum Key Distribution (QKD) network for metropolitan areas, resistant to quantum computing attacks and capable of supporting 800 Gbps data rates for mission-critical applications under real-world environmental conditions.