Bank of Canada to Simulate Crypto Adoption Cases using Quantum Computing

Decrypt | Stacy Elliott | Apr 14, 2022

BoC uses quantum computing models to test crypto - Bank of Canada to Simulate Crypto Adoption Cases using Quantum ComputingThe researchers’ model can complete in half an hour what would take a regular PC longer than a human lifetime.

The Bank of Canada has become the first G7 country to turn to quantum computing to simulate scenarios where cryptocurrency and fiat currency can coexist.

This week, Multiverse Computing, the startup leading Canada’s research, hit a milestone: Its model can evaluate more than 1 octillion possible scenarios in 30 minutes. An octillion is a 10 followed by 30 zeros.

See:  Quantum computing use cases are getting real—what you need to know

That means Multiverse Computing has completed its proof-of-concept, which combines blockchain data from stablecoin Tether (USDT), whose tokens are pegged to the U.S. dollar, and public data from up to 10 major financial institutions. It also consulted with experts from two major Canadian banks to come up with realistic parameters.

Multiverse Computing chose Tether for its model because the stablecoin, founded in 2014, had endured a variety of market scenarios in its eight years worth of blockchain data.

Most scenarios in the model showed that non-financial institution adoption of the cryptocurrency would be slow, since there was some upfront knowledge and cost associated with converting fiat to a digital asset. It was also able to simulate how banks might respond by reducing wire transfer fees to compete with the very low cost of crypto transactions.

See:  Quantum computers could crack the cryptography that underpins financial stability

The research itself has only just reached the proof-of-concept stage, so there aren’t yet any implications for Canada’s crypto regulations. But being able to use quantum computing models to simulate how fiat and digital currencies might compete for use and adoption is a big leap forward, says a Bank of Canada official.

Continue to the full article --> here


NCFA Jan 2018 resize - Bank of Canada to Simulate Crypto Adoption Cases using Quantum ComputingThe National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org

Latest news - Bank of Canada to Simulate Crypto Adoption Cases using Quantum ComputingFF Logo 400 v3 - Bank of Canada to Simulate Crypto Adoption Cases using Quantum Computingcommunity social impact - Bank of Canada to Simulate Crypto Adoption Cases using Quantum Computing
FFCON23 Fintech Funding Deal Flow - Bank of Canada to Simulate Crypto Adoption Cases using Quantum Computing

Share for a Chance to Win FREE #FFCON23 Virtual Event Tickets!!


As a part of the lead-up to this exciting event, NCFA will be holding a social media contest for the chance to win FREE tickets to attend. In order to be entered to win, all you’ll need to do is share any of our event posts or create one of your own through your Facebook, Twitter, Instagram or LinkedIn personal or company page, tag @NCFACanada, and use #FFCON23. Winners will be contacted prior to the event. We look forward to seeing you there!

FFCON23 Share on Social for Chance to Win Free Tickets  - Bank of Canada to Simulate Crypto Adoption Cases using Quantum Computing

Support NCFA by Following us on Twitter!







NCFA Sign up for our newsletter - Bank of Canada to Simulate Crypto Adoption Cases using Quantum Computing




 

Leave a Reply

Your email address will not be published. Required fields are marked *

one + seventeen =