QED-C Report: Quantum Technology for Securing Financial Messaging
In a new report published on 29 July 2024, the Quantum Economic Development Consortium (QED-C) acknowledges the crucial role of a combined approach to Quantum-Safe, leveraging both quantum key distribution (QKD) and post-quantum cryptography (PQC) to protect sensitive financial data.
Stemming from a workshop led by the QED-C Use Cases Technical Advisory Committee (TAC), stakeholders from finance, quantum technology, and government, including the leaders from JPMC, Wells Fargo, Accenture, and ID Quantique amongst others, discussed the impact of quantum threat to the financial sector. Importantly, the participants identified high-feasibility, high-impact uses cases benefiting from quantum-resistant technologies and services, such as secure cross-border transactions, physical infrastructure, third-party validation of financial institution’s resistance to quantum threat, and transport layer security. The report also includes actionable insights for minimizing risks posed by the harvest now, decrypt later threat.
Based on the workshop’s outcome, the report concludes with the following recommendations:
- Federal agencies should support migration to post-quantum cryptography (PQC) algorithms by sharing information and resources with financial institutions and by providing grants to help institutions implement the new algorithms.
- The financial industry should grow in-house quantum expertise to raise awareness of the benefits and risks of quantum technologies, along with hiring quantum networking and security experts to assist with conducting an inventory of quantum-vulnerable cryptographic assets and implementing PQC standards.
- While quantum key distribution (QKD) and PQC each have advantages and limitations, using both technologies in a combined approach could lead to higher levels of security than employing either approach on its own. Financial services, telecommunications, quantum and government stakeholders should collaborate to advance combined approaches.
