- Trending
- Comments
- Latest
VanEck CEO Jan van Eck warned that his firm may abandon Bitcoin if quantum computing advances compromise the cryptocurrency’s encryption, marking a rare public questioning of Bitcoin’s long-term viability from a major institutional investor.
Speaking on CNBC’s Power Lunch, van Eck said the asset manager is reassessing Bitcoin’s cryptographic foundations as quantum computers advance toward capabilities that could break current blockchain security.
“We will walk away from Bitcoin if we think the thesis is fundamentally broken,” he said, citing concerns that existing encryption may not withstand next-generation computing threats.
VanEck, speaking alongside anchor Brian Sullivan, said the firm is reassessing Bitcoin’s cryptographic foundations, particularly in relation to Bitcoin encryption and privacy protections. His remarks underscore a broader concern over whether Bitcoin’s existing architecture can withstand next-generation technological pressures.
Van Eck emphasized that Bitcoin’s challenges extend well beyond price volatility, pointing instead to weaknesses in cryptographic resistance and user privacy — issues tied directly to Bitcoin encryption and privacy models. He highlighted concerns about quantum computing, which experts warn could one day overpower the cryptographic algorithms securing blockchains.
Following his appearance, van Eck linked the ongoing Bitcoin bear market to multiple factors, including the halving cycle through 2026, quantum encryption concerns, and comparisons to privacy-focused alternatives such as Zcash.
According to statements published by ecoinimist.com, he also referenced advice from VanEck portfolio manager Pranav Kanade about adopting dollar-cost-averaging strategies in periods of market uncertainty.
His warnings echo broader industry discussions. At Devconnect in Argentina on Nov. 17, Ethereum co-founder Vitalik Buterin issued a similarly blunt assessment of the risks quantum computing poses to modern cryptography. “Elliptic curves are going to die,” Buterin said, referring to the mathematical structures that underpin both Bitcoin and Ethereum.
Scott Aaronson, a quantum computing researcher at the University of Texas at Austin, has also forecast the possibility of a fault-tolerant quantum computer capable of running Shor’s algorithm within several years.
Such a breakthrough would allow attackers to derive private keys from public ones, creating systemic vulnerabilities. While Aaronson did not comment in the original story, his published predictions frame the urgency around Bitcoin encryption and privacy in a rapidly evolving technological climate.
Despite the concerns raised by VanEck, not everyone in the crypto ecosystem agrees with his assessment. Samson Mow, CEO of Bitcoin infrastructure firm JAN3, dismissed suggestions that Bitcoin proponents are migrating toward alternatives like Zcash. Mow also challenged van Eck’s characterizations, arguing the VanEck executive “should not be speaking on Bitcoin,” according to the report.
Still, Zcash has experienced renewed market activity amid increased discussion of privacy features. This trend highlights how narratives surrounding Bitcoin encryption and privacy can influence investor sentiment during periods of Bitcoin weakness.
Market data shows that Zcash’s price has strengthened, reflecting a growing appetite among some investors for more advanced privacy protections and stronger encryption models.
The debate over Bitcoin encryption and privacy sits at the intersection of market dynamics, technological innovation, and long-term viability. As global institutions take a harder look at quantum-resistant cryptography, Bitcoin faces renewed pressure to develop or integrate technological upgrades that can secure it against next-generation threats.
For now, van Eck’s warning marks a notable moment in the ongoing conversation about the cryptocurrency’s future. With quantum computing advancing and privacy standards becoming increasingly important to regulators and users alike, the durability of Bitcoin encryption and privacy models remains a central issue that could shape the asset’s trajectory for years to come.
