Are cryptocurrencies also worried about "quantum threats"? The security concerns behind Project Eleven's $20 million funding

A little-known crypto security project has secured $20 million in funding. Why? Because it is addressing one of the most secretive yet deadly threats in the crypto world. Project Eleven has just completed this funding round, with a post-money valuation of $120 million, focusing on a seemingly distant but increasingly urgent issue—how to protect crypto assets from future quantum computing attacks.

Quantum Computing Threats, Not So Distant

The essence of the problem

Current cryptographic security is based on an assumption: certain mathematical problems are unsolvable by traditional computers. For example, cracking a Bitcoin wallet would require attempting billions of trillions of computations, which is simply impractical. But quantum computing changes the game.

Quantum computers use qubits instead of classical bits, allowing them to compute multiple states simultaneously. In theory, a sufficiently powerful quantum computer could crack existing RSA and elliptic curve encryption within hours—that’s the foundation of security for mainstream blockchains like Bitcoin and Ethereum.

Why raise funds now?

This is not alarmism. According to public information, the US, China, Google, and others are investing heavily in quantum computing. While truly threatening quantum computers are still years away, crypto assets are long-term assets. Ignoring this today could be costly tomorrow.

This is why investors are willing to bet on Project Eleven. It’s not hype; it’s a proactive move to prepare for a real long-term risk.

Project Eleven’s Solution

Core idea

Project Eleven is developing “post-quantum cryptography” solutions—encryption algorithms that are difficult to crack even in the face of quantum computers. This is not just theoretical; the US National Institute of Standards and Technology (NIST) is already standardizing such algorithms.

The company’s goal is to provide upgrade paths for existing public chains and crypto assets. Simply put, enabling systems like Bitcoin and Ethereum to “wear new armor” and resist quantum threats.

Technical challenges

This is much more complex than it sounds. Not only must new algorithms be developed, but millions of users need to upgrade wallets, exchanges must adjust systems, and mining pools need to modify rules. It involves coordination across the entire crypto ecosystem.

But that’s exactly where Project Eleven’s value lies—it’s doing what others are reluctant to do but must do.

Implications of Market Signals

The scale of this funding reflects a shift: the crypto industry is no longer solely focused on short-term gains but is beginning to prioritize long-term security. While such defensive investments may lack the hype of “100x coins,” they are crucial for ecosystem health.

Similar trends have appeared in traditional finance—funding for cybersecurity companies has surged over the past decade because the cost of security is ultimately much lower than the losses from attacks.

Future Focus

The success of Project Eleven depends on several factors: whether it can promote adoption by mainstream public chains, whether its technical solutions are truly feasible, and whether the costs of ecosystem migration are acceptable. This sector may gradually heat up over the next 3-5 years, attracting more projects and capital.

Summary

The funding for Project Eleven is not hype; it’s the crypto industry proactively defending against a real but overlooked threat. Quantum computing may still be years away from posing an actual danger, but crypto assets are permanent, and today’s defensive investments could determine tomorrow’s security. This funding case indicates that the crypto industry is maturing—beginning to recognize those unseen but powerful risks.