Tech giant Google (GOOGL) is warning that Ethereum (ETH-USD) could face serious risks in the future, with more than $100 billion potentially exposed to attacks from quantum computers. In a new Google Quantum AI paper, the company explains that as quantum technology improves, it could break parts of Ethereum’s security. Specifically, Google estimates that the top 1,000 Ethereum wallets and at least 70 major smart contracts, including ones tied to important stablecoins, could be vulnerable.
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In addition, Ethereum’s proof-of-stake system, its Layer 2 networks, and even how it stores and shares data could all be exposed to future attacks. Interestingly, the paper outlines five different ways that quantum computers could target Ethereum, with each focusing on a different part of the system. As a result, the total amount at risk is around $100 billion. While the Ethereum Foundation is working on quantum-resistant upgrades planned for 2029, Google says that timeline may need to be moved up because quantum computing is advancing quickly.
However, even if Ethereum improves its base layer, thousands of existing smart contracts may still stay vulnerable and would need to be fixed separately. Moreover, Google points out that Bitcoin could face similar problems, with about 6.9 million BTC potentially at risk in the future. So as quantum computing continues to improve, blockchain networks may need to act faster than expected.
Are GOOGL Shares a Good Buy?
Turning to Wall Street, analysts have a Strong Buy consensus rating on GOOGL stock based on 26 Buys and six Holds assigned in the past three months. Furthermore, the average GOOGL price target of $378.24 per share implies 34.6% upside potential.
