Swan Bitcoin Founder Warns AI Hackers Outpace Quantum Threat

Artificial intelligence poses a more immediate threat to Bitcoin security than quantum computing, according to Swan Bitcoin founder Cory Klippsten, who warned that hackers are using large language models to exploit vulnerabilities "with just a few prompts," as reported by Cointelegraph.

The warning

Speaking on Cointelegraph's Chain Reaction, Klippsten dismissed much of the concern around quantum computing as speculative. He argued that advances in large language models are the more pressing challenge, as attackers use the technology to probe security weaknesses in crypto infrastructure.

Context: a run of exchange breaches

The comments come as exchanges face a string of security incidents. Cointelegraph reported that Brazil's Mercado Bitcoin suspended deposits and withdrawals on Monday after a security incident, with researchers estimating more than $46 million had left its wallets. Days earlier, Binance lost $6.3 billion in an Oct. 29 hack that the FBI attributed to North Korean hackers.

Analysis: quantum risk still a decade away

Klippsten estimated that quantum computers capable of threatening Bitcoin's cryptography remain at least a decade away, potentially longer. He said the network could adopt quantum-resistant protections if the threat became credible, but that rushing them in now would add unnecessary complexity. He also suggested some startups and investors had used quantum fears to attract funding, calling much of the discussion "FUD" rather than an imminent concern.

On AI-era security, he said crypto companies cannot rely on hastily developed software when safeguarding customer assets. "You need to actually know what the hell you're doing from a security standpoint," he said.

What to watch

Investigations into the Binance and Mercado Bitcoin incidents, and how exchanges harden systems against AI-assisted attacks, will test Klippsten's view that near-term risk lies in software security rather than cryptography.