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The digitalisation of the economy has impacted the financial services industry more than others. Digital financial transactions have replaced physical currencies. Banknotes were exchanged on trust. They were issued by trustworthy institutes in the country and used between parties without fear of doubt.
The Indian Cabinet recently approved the National Quantum Mission. The mission is essential for building excellence in national quantum security and developing quantum computers, quantum communication, new materials, quantum sensors, and quantum cryptography.
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The process of encrypting data is called cryptography. It converts plain text into scrambled text so that someone with the right “key” can read it. Quantum cryptography, by extension, uses the principles of quantum mechanics to encrypt data and transmit it securely.
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Companies and governments around the world are in a race to build the first usable quantum computer. The technology promises to make some kinds of computing problems much, much easier to solve than with today’s classical computers, but it also poses a significant threat to the integrity of encrypted data.
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Before understanding Quantum Key Distribution (QKD), let us understand quantum cryptography. Cryptography is the process of encrypting and protecting data such that only the person with the right secret key can decrypt it. Quantum cryptography is a process of encryption using properties of quantum mechanics to transmit data securely, making it hack-proof.
Industries such as banking, healthcare, power grids, and telecom (critical digital infrastructure) are at risk as quantum computers become more powerful, and the potential for systems compromise in these industries continues to grow with every passing day.
QShield™ includes Connect Service, Key Generation, Distribution & Management Service, Messaging Service and Data Exchange & Storage Service.
In 2023, financial institutions worldwide faced an alarming rise in ransomware and cyberattacks, with India experiencing a 29% increase in financial sector breaches according to CERT-In. Adding to this challenge is the looming threat of Harvest Now, Decrypt Later (HNDL), a strategy where hackers capture encrypted data today, intending to decrypt it using powerful quantum computers in the near future.
Countries around the world are adopting quantum technologies at a rapid rate. India announced the National Quantum Mission to demonstrate the government’s dedication to advancing quantum science in the country and hint at quantum priorities.
In cybersecurity, where data protection is paramount, traditional cryptographic methods have long been the stalwart guardians of sensitive information. However, as computing power advances, so too do the tools available to potential attackers. In the ever-evolving landscape, the emergence of quantum cryptography offers a promising solution to the challenges of secure communication in the digital age.
Quantum technology has been the most revolutionary phenomenon of the 21st century. Quantum computing hogs the limelight for its immense processing power and the ability to transform many areas of our technological life. It also has the potential to tackle some of our most pressing global issues, from climate change to food security.
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