Quantum Computing and the Future of Banking



According to research undertaken by Juniper Research, Cybercriminals will steal 12 billion records in 2019, followed by a staggering estimated 33 billion records in 2023.
Cyber attacks are a global problem and a growing number of businesses becoming victims daily.


Robin Trehan, Senior VP at Deltec International
August 19th 2019 | 4258 readers

Photo by Sharon McCutcheon on Unsplash
Banks are undoubtedly one of the prime targets for cybercrime. The banking world is continually facing security threats, with customers having money stolen from their accounts. 

Let’s take a look below at his banks are working on the protection of data and also looking to protect themselves and their customers, from financial vulnerability.

How banks are evolving

The world’s largest banks are constantly reviewing and updating their defense systems. They are aiming to evolve their systems to be the most secure they can be using proactive methods and the latest technology.

Banking corporations are looking to actively defend sensitive data that’s held at every point in the process.  Whether that is via mobile devices, through apps, via their internal network or through websites.

They will also be looking to add increasing levels of protection to databases that hold key customer and transaction details that the criminals are seeking and also to protect themselves against market vulnerability and financial crashes.

Let’s look below at how banks are using new methods of computing to protect themselves and their customers.

Quantum computing is the future of banking

Qubit report says Many major banks, including Barclays and JP Morgan Chase, are looking to quantum computing to secure their future.

Both of these banks have begun to experiment with prototype quantum computer technology via the cloud and also to conduct important research as to how this cutting edge technology can be utilized successfully in the banking world.

Currently, this new technology is still in its infancy and quantum computer systems are still not at the level of effectiveness as traditional computers.

However, both these banks have mathematicians, physicists and computer programmers on their payroll ready to create important new breakthroughs.

This brand new way of working is known as ‘quantum advantage’. This will be the defining moment when a quantum computer can run everyday banking tasks better and more securely than a traditional computer.

‘Many major banks, including Barclays and JP Morgan Chase are looking to quantum computing to secure their future.’

How quantum computing could replace blockchain technology within a decade

This important development could totally replace other forms of secure data protection, such as blockchain within a period of ten years using quantum encryption.

Quantum encryption will enable banks to send data which is almost unhackable over a quantum network. Quantum cryptography uses a system called quantum key distribution also known as QKD which ensures encrypted messages and its keys are sent separately. If these messages and keys are tampered, or edited in any way, they are automatically destroyed. At this point, both the sender and the receiver are sent notifications.

And finally...

To give us some idea of how quantum computing is set to change the world, not to mention the world of banking, let's finish on a fabulous quote by the godfather of science on quantum theories.

‘If it is correct, it signifies the end of physics as a science’ - Albert Einstein

About the author

Robin Trehan
The author of this text, Robin Trehan, has an Undergraduate degree in economics, Masters in international business and finance and MBA in electronic business. Trehan is Senior VP at Deltec International www.deltecbank.com. The views, thoughts, and opinions expressed in this text are solely the views of the author, and not necessarily reflecting the views of Deltec International Group, its subsidiaries and/or employees.
Headquartered in The Bahamas, Deltec is an independent financial services group that delivers bespoke solutions to meet clients’ unique needs. The Deltec group of companies includes Deltec Bank & Trust Limited, Deltec Fund Services Limited, and Deltec Investment Advisers Limited, Deltec Securities Ltd. and Long Cay Captive Management.

You can read too...