Quantum computing firm PsiQuantum, backed by a $1 billion investment round with Nvidia as a key partner, has begun construction on what it aims to be the world's first functional, fault-tolerant quantum computer. The facility in Chicago, as announced by co-founder Peter Shadbolt, saw 500 tons of steel erected in just six days to house the system.
The target capacity of the machine is 1 million qubits, a scale unprecedented in the field and far beyond the current largest operational quantum computer, which runs on 6,100 qubits. Scientists have stated that, in theory, this level of processing power—equivalent to tens of billions of traditional computers—could be sufficient to break the 256-bit cryptographic encryption that secures Bitcoin wallets.
Despite these theoretical capabilities, PsiQuantum has publicly stated it has no intention of attacking Bitcoin. Co-founder Terry Rudolph emphasized this point, noting the company is too large to carry out such an attack secretly. The primary stated purpose of the facility is to serve as infrastructure for next-generation artificial intelligence supercomputers.
The news has reignited discussions within the cryptocurrency community about quantum threats. A recent analysis by crypto asset management firm CoinShares found that approximately 10,230 Bitcoin (worth roughly $730 million at current prices) are held in wallets considered vulnerable to a quantum attack because their public keys are exposed on the blockchain. The firm characterized this sum as resembling a routine trade rather than a market crisis.
In response to the long-term quantum risk, Bitcoin developers are already working on potential fixes. One proposal, BIP-360, aims to make the network quantum-resistant through a protocol upgrade, a process that a co-author estimated could take up to seven years to fully implement. Experts generally agree that a genuine, practical quantum threat to Bitcoin's encryption is still at least a decade away.
The first phase of PsiQuantum's Chicago facility is expected to be partially completed around 2027, with the goal of becoming fully operational around 2028.
