Algorand (ALGO) says tokenization and digital asset infrastructure should account for quantum-risk exposure as post-quantum migration gains momentum.

Algorand (ALGO) said the financial industry cannot build the next generation of tokenized markets on cryptographic assumptions that may not survive future quantum computing advances. In a blog post published Wednesday, Oct. 21, 2026, the company argued that post-quantum security should be treated as a core infrastructure issue for digital assets, custody systems and market plumbing.

The post said most major blockchains rely on elliptic-curve cryptography to authorize transactions, and that sufficiently powerful quantum computers could eventually derive private keys from exposed public keys. According to the post, that could allow attackers to forge signatures and take control of digital assets. It added that the problem is especially relevant for long-lived assets, because ledger records can persist for years or decades.

Algorand framed the risk alongside broader industry efforts in tokenization, stablecoins and on-chain settlement. The company said institutions are already exploring new settlement systems and bringing traditional assets on chain, making cryptographic durability a design issue rather than a distant theoretical concern.

The blog cited a recent breakthrough from Google Quantum AI that, in its view, opened a critical bottleneck, and referenced a March 2026 research paper from the same organization indicating that breaking widely used elliptic-curve cryptography could require fewer quantum resources than previously estimated. The post said no one knows when such a machine will become practical, but noted that some estimates place the timeline as soon as 2029.

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