BTQ Technologies is included in VanEck Quantum Computing ETF, institutional investors are beginning to pay attention to quantum risks

Quantum-resistant cryptography company BTQ Technologies has been included in VanEck’s quantum computing UCITS ETF, a investment vehicle listed in Europe with a total net asset value of approximately $524.5 million. The portfolio includes 30 companies in the quantum computing field. This inclusion signifies BTQ’s transition from a specialized niche to mainstream investment recognition and also reflects the increasing attention of institutional investors to the threats posed by quantum computing.

BTQ’s Latest Developments

From Testnet to Investment Tool Recognition

Just one day before being included in the VanEck ETF, BTQ launched the “Bitcoin Quantum” testnet. This is not just a simple proof of concept but the first quantum-safe Bitcoin fork using the NIST standardized ML-DSA algorithm. The testnet went live on January 12, a meaningful date—coinciding with the 17th anniversary of Bitcoin’s Genesis Block.

Chris Tam, head of partnerships at BTQ, explained the purpose of this testnet: to allow miners, developers, researchers, and users to practically test quantum-resistant transactions. This proactive approach aims to reveal real-world trade-offs before discussions on mainnet upgrades become urgent. The network includes a block explorer and mining pools, providing immediate accessibility.

Background of the Technical Choice

ML-DSA (a lattice-based digital signature algorithm, commonly known as Dilithium) was standardized in the US in August 2024. This algorithm is currently one of the most mature solutions against quantum threats. However, it faces a practical challenge: data size increases by at least 200 times compared to conventional algorithms. What does this mean? The cost of transmitting information to the blockchain will significantly rise.

This substantial cost difference explains why quantum-resistant algorithms, despite existing, have not been widely adopted in the cryptocurrency space. BTQ’s testnet allows the entire ecosystem to see these trade-offs in a tangible way.

Why Now Is Urgent

Institutional Investors’ Alertness

BlackRock and VanEck have explicitly disclosed quantum risks in their filings with the U.S. Securities and Exchange Commission. This is not just a concern for tech enthusiasts but a real issue for institutional investors managing billions of dollars. They see billions of dollars’ worth of vulnerable Bitcoin assets.

Government-Level Push

The U.S. government has issued directives requiring post-quantum migration to be completed by 2035. This provides the industry with a timeline: approximately nine years to address this challenge.

Significance Assessment

Being included in VanEck’s quantum computing ETF holds multiple implications for BTQ:

• Institutional Recognition: Transitioning from a niche tool to a mainstream investment product indicates that BTQ’s solutions are gaining acceptance among professional investors.
• Facilitated Funding: Increased capital inflow means BTQ has more resources to advance Bitcoin Quantum and other projects.
• Ecosystem Promotion: The dissemination of investment tools will attract more investors’ attention to quantum security issues.

Summary

BTQ Technologies’ inclusion in the VanEck ETF and the launch of the Bitcoin Quantum testnet reflect a shift: from discussions within the technical community to concrete actions by institutional investors. The threat of quantum computing is no longer a distant future but a pressing reality that must be addressed now. The launch of the Bitcoin Quantum testnet makes this response tangible and verifiable, while ETF inclusion channels more capital and attention into this field. The key next step is whether the testnet can identify feasible solutions that balance security and cost.