Banks in Europe and Asia are testing quantum-resistant wallets and on-chain transfers, with regulators from Abu Dhabi, Bhutan, and Malta observing the pilot as the industry prepares for future quantum security threats
Banks and regulators across three continents are taking early steps to address the looming threat of quantum computing to digital asset security. The Responsible Fintech Institute and Safeheron have launched a cross-regional pilot to test quantum-resistant wallet technology and on-chain transfers, according to an announcement from the organizers. The pilot brings together Bison Bank and DK Bank as participating institutions, with regulatory observers from Abu Dhabi Global Market, Bhutan's Gelephu Financial Services Office, and Malta's Financial Services Authority.
Quantum-Resistant Technology in Focus
The pilot operates on a NEAR testnet designed to withstand quantum attacks, using a multiparty computation protocol that supports ML-DSA-65-a post-quantum digital signature standard published by the U.S. National Institute of Standards and Technology. The banks are testing wallet generation and transaction signing in a shared application environment, while regulators are monitoring the process to inform future governance frameworks. The initiative aims to produce a white paper detailing the research design, protocol architecture, and test results, with plans to open-source the technology after the pilot concludes.
Regulatory Involvement and Global Context
Regulators are increasingly prioritizing quantum preparedness as advances in quantum computing raise concerns about the long-term viability of current cryptographic standards. The Hong Kong Monetary Authority, for example, has set a 2030 deadline for its banking sector to be quantum-ready. The Bank for International Settlements has also called for coordinated, phased migrations to post-quantum cryptography. The RFI and Safeheron pilot is among the first to bring cross-regional regulatory participation into a live testing environment, reflecting a shift from theoretical planning to practical experimentation.
Industry Response and Next Steps
While the pilot is still in its early stages, the involvement of multiple regulators signals growing recognition of quantum risk in the digital asset sector. The project's organizers say that regulatory input will shape future governance models, though participation levels may vary by institution. The move comes as other jurisdictions begin to enforce new crypto rules, such as Austria's recent penalty against Bitpanda for MiCA violations-a development covered in EgonCoin's recent analysis of Austria's first MiCA enforcement action.
According to documentation published by the Responsible Fintech Institute, the pilot leverages the ML-DSA-65 standard, which was selected by NIST in 2024 as part of its post-quantum cryptography project. The NEAR testnet used in the pilot is isolated from mainnet activity and is not available for public use. No timeline has been announced for mainnet deployment or commercial rollout, and the pilot's results will be subject to further regulatory review before any broader adoption.
Quantum-resistant cryptography is designed to protect digital assets from future quantum computers that could break today's public-key encryption. Unlike traditional cryptographic algorithms, post-quantum standards such as ML-DSA-65 are engineered to withstand attacks from quantum processors, which could theoretically compromise private keys and signatures. For banks, custodians, and wallet providers, the transition to quantum-resistant infrastructure will require not only technical upgrades but also new governance, compliance, and operational frameworks. The pilot's cross-regional approach highlights the need for international coordination as the industry prepares for a new era of cryptographic risk.
