Much of the crypto industry spent this week processing Google’s paper on how quantum computers can break blockchain encryption. One startup is asking a different question – could quantum hardware improve blockchains.
PostQuant Labs, which is building the world’s shared quantum computer, Quip.Network, on Wednesday announced the launch of the first publicly available quantum classical blockchain testnet, where quantum computers and legacy technology work together to solve problems.
Quantum computers use the physics of subatomic particles to test multiple possible solutions simultaneously rather than testing them one by one, which makes them fundamentally different from even the fastest conventional supercomputers, which are much faster versions of the same step-by-step approach.
According to a press release shared with CoinDesk, the testnet has already attracted 13,000 signups from researchers at MIT, Stanford, and universities around the world. Six of these teams have presented serious computational work so far.
PostQuant Labs’ effort to investigate how quantum processors can improve blockchain performance stands in contrast to most blockchain developers who view quantum as a threat.
The threat perception has increased manifold after Google published a paper on Monday that found that breaking Bitcoin’s cryptographic security would require less than 500,000 physical qubits, about 20 times less than prior estimates.
However, note that PostQuant Labs’ testnet is a testing environment, not a live, final product. This is where researchers conduct experiments before anything goes into production.
The testnet was built in consultation with D-Wave Quantum Inc., a leader in quantum computing systems, software and services.
“From a technical perspective, the hybrid design of the testnet is particularly interesting. Participants can contribute using GPUs, CPUs, and GPUs, creating a shared environment to evaluate how different compute models perform together,” Dr. Trevor Lanting, chief development officer at D-Wave, told CoinDesk.
“This creates an environment to help better understand how quantum approaches compare to classical methods in a blockchain setting, and where they may provide meaningful benefits such as improved energy efficiency or security,” he said.
Developers and researchers can earn QIP tokens by solving complex mathematical problems using quantum machines, GPUs, or regular CPUs. QUIP stands for a utility token that can be exchanged for computation resources provided by quantum and classical miners on the network.
If quantum computers can indeed outperform regular computers on blockchain tasks – solving problems faster, using less energy, and producing better results – then distributed ledgers could become more useful for real business applications, not just crypto trading.
“Today, annealing quantum computers are beginning to show performance benefits on useful optimization applications in logistics, manufacturing, and beyond, often providing better results, faster, and at lower energy costs than classical-only solutions,” said Colton Dillion, CEO and co-founder of PostQuant Labs.
“Our goal is to make this quantum advantage accessible on the blockchain network,” Dillion said.
For now, that’s a big “if.” This testnet is needed to prove whether the quantum advantage is real or just marketing.
“The mainnet launch will depend entirely on the performance of the testnet, but as soon as we have proven the network’s capabilities to solve real-world problems, and both quantum demand and supply exist on both sides of the market, we are eager to launch,” PostQuant Labs told CoinDesk.
Do quantum computers exist?
Yes, they do, but not the sci-fi version that breaks Bitcoin and other blockchains or hacks banks and major financial institutions.
D-Wave’s machines are not the quantum computers in Google’s paper. They are specialized hardware for optimization problems such as annealing systems, route planning, and resource allocation.
They can’t run Shor’s algorithm, break encryption, and do anything else described in the Google paper. They’re good at a specific class of problem, and that’s the class Quip.Network is testing.
PostQuant is using D-Wave’s Advantage2 annealing quantum computer through the company’s Leap Cloud service.
In early internal tests, PostQuant says D-Wave’s Advantage2 system beat 80 H100 GPUs and 480 CPU cores on solution quality, time-to-solution, and energy efficiency for these specific optimization problems.
Those results have not been independently verified or published. Unless they are, the claim is solely the company’s.
What role does D-Wave play?
D-Wave is not a full partner or investor. and has only advised Quip Network on the development of the testnet” and is “providing access to the Advantage2 system and consulting on the development of the testnet.”
Importantly, D-Wave has not independently supported the overall technical architecture – their involvement is limited to providing hardware access and consulting.
