Banks Receive Singapore’s Warning Against Quantum Computing Cyber Threat

The Monetary Authority of Singapore on Monday warned against quantum computing cyber threats. The financial authority has advised banks to be strong enough to battle the cybersecurity risks caused by quantum computing.

Cryptographically relevant quantum computers will begin to pose risks in cybersecurity shortly, as predicted by professionals. These computers will crash frequently-used asymmetric cryptography. Moreover, symmetric cryptography may need bigger key sizes to stay secure.

The monetary authority reveals its concern about the possible risk faced by the sensitive data financial organizations and the security of financial transactions. This potential risk may come to light because quantum computers can break several commonly used digital signature algorithms and encryption.

Some suggestions could help in controlling this situation, like staying watching closely the development of quantum computing that could pose danger so it won’t escalate.

Banks Can Lessen Cyber Threats Through QKD And PQC

Along with this measure, banks should also be able to mitigate the threats through Quantum Key Distribution (QKD) and Post-Quantum Cryptography (PQC). This will ensure that management and third parties won’t be unreachable when needed. It will also assist in observing the cryptographic solutions utilized by organizations, knowing which ones are weak and require replacement.

It is necessary to check if systems are enhanced to a level where they can handle the novel threat without stopping any future evolution to safer systems. MAS has advised the training of technical staff to improve standards and keep contingency plans in place.

Chief Executive Officer of Horizon Quantum in Singapore, Joe Fitzsimons, revealed to The Register that it’s normal to see issues in encryption protocols as they are continuously used. He mentioned that the advisory was reasonable and it came at the right moment.

Joe Fitzsimon Advice For Immediate Plans To Mitigate Risks

Fitzsimons stated that there are many revealed research results from last year. These results show that cryptographically relevant quantum computers are nearer than previously predicted. He mentioned that it’s important to use the time available to mitigate risks and banks should currently focus on solving the issue.

The Monetary Authority of Singapore is the financial regulatory body and reserve bank of Singapore. It controls several statutes related to insurance, money, securities, banking, and the total financial sector. It also manages currency issuance and foreign exchange reserves.

The financial authority was established in 1971 to facilitate several monetary functions related to finance and banking. Before its launch, monetary functions were carried out by government agencies and departments.