What is the Bitcoin BIP-361 proposal?

BIP-361 is a proposed Bitcoin upgrade designed to protect funds from future quantum computing threats. It aims to secure up to 7 million BTC, about 34% of total supply, by requiring users to move coins to quantum-resistant addresses. Coins that do not migrate could eventually be frozen.

Why is quantum computing a threat to Bitcoin?

Quantum computers could potentially break the cryptographic algorithms that secure Bitcoin wallets. This scenario, often called “Q-Day,” could allow attackers to access older wallets. The risk is especially high for coins using outdated signature methods.

What is Charles Hoskinson’s main criticism of BIP-361?

Charles Hoskinson argues the proposal cannot fully protect all vulnerable Bitcoin. He claims around 1.7 million BTC would remain exposed even if the upgrade is implemented. His view is that full recovery of these coins is “not possible” under the current plan.

How much Bitcoin could still be at risk?

Hoskinson estimates up to 1.7 million BTC could remain vulnerable. These coins are mostly from wallets created before 2013. This includes around 1.1 million BTC believed to belong to Bitcoin’s creator, Satoshi Nakamoto.

How does BIP-361 plan to protect Bitcoin?

The proposal uses a phased approach: first blocking new transactions to vulnerable addresses, then freezing old coins, and eventually allowing recovery if users migrate in time. This process could take several years to complete. It is designed to gradually phase out insecure cryptography.

What happens to Bitcoin that isn’t moved to quantum-safe addresses?

Under the proposal, unmigrated coins could be frozen and later subject to recovery mechanisms. However, Hoskinson disputes whether all funds can actually be recovered. This creates uncertainty for long-dormant wallets.

Why are older Bitcoin wallets more vulnerable?

Older wallets use earlier cryptographic standards that are easier for quantum computers to break. Wallets created before 2013 are particularly at risk. Newer wallets use improved key generation methods, making them more secure.

What is “Q-Day” and why does it matter for investors?

“Q-Day” refers to the point when quantum computers can break current encryption systems. If it happens, it could threaten billions of dollars in Bitcoin. This is still a future risk, but timelines are becoming more relevant.

Hoskinson doubts Bitcoin quantum fix proposal

Written by Heidi Cuthbert Published Apr. 17 2026Last Updated Apr. 25 2026

Cardano founder Charles Hoskinson said a proposed Bitcoin upgrade aimed at protecting funds from quantum computing will fail to secure all vulnerable coins.

The proposal, known as BIP-361, seeks to safeguard up to 7 million Bitcoin—around 34% of supply—by freezing coins that do not migrate to quantum-resistant addresses.

“That’s a lie,”

Said Charles Hoskinson, adding that;

“It’s not possible to recover all affected coins under the plan.”

Hoskinson argued that as many as 1.7 million Bitcoin, largely from wallets created before 2013, would remain exposed even if the proposal is implemented.

He warned that older holdings, including an estimated 1.1 million Bitcoin linked to Satoshi Nakamoto, could still be at risk if quantum computing capabilities advance as expected. Following the announcement the Bitcoin price was unchanged at $XX.

The proposal comes as concerns grow over “Q-Day,” when quantum computers could break existing cryptography, with major firms like Google targeting a transition to post-quantum systems by 2029.

Despite criticism, Hoskinson said the proposal reflects urgency within the Bitcoin community, though he argued that stronger on-chain governance models could better address long-term security challenges.

At the time of reporting, Bitcoin price was $74,932.34.