The imminent threat quantum computing poses to existing cryptographic methods has prompted the Monetary Authority of Singapore (MAS) and the Banque de France (BdF) to join forces in a pioneering project aimed at safeguarding financial communications and data. By leveraging post-quantum cryptography (PQC) algorithms, such as CRYSTALS-Dilithium and CRYSTALS-Kyber, and incorporating them into Microsoft Outlook, the two institutions have successfully transmitted digitally signed and encrypted emails. However, despite this achievement, both MAS and BdF have underscored that merely standardizing PQC for digital signatures and encryption does not entirely mitigate the risks. They argue for broader standardization encompassing public key infrastructure, digital certificates, key exchanges, and secure emails to ensure comprehensive PQC adoption and seamless interoperability.
Extending PQC to Critical Financial Activities
MAS is taking proactive measures to defend against quantum threats by collaborating with esteemed banks like DBS Bank and HSBC, along with technology vendors, to test quantum key distribution (QKD) solutions. These steps reflect MAS’s strong commitment to addressing the cybersecurity challenges posed by the evolving quantum computing landscape. In future plans, MAS and BdF aim to expand their post-quantum cryptography (PQC) efforts to vital financial operations, notably ensuring secure cross-border transactions on global payment networks.
Jacqueline Loh, MAS’s deputy managing director of corporate development, underscored the need for cryptographic agility. She stressed that integrating quantum-resistant algorithms is pivotal for financial institutions to effectively adapt to emerging quantum-related challenges. It is crucial to prepare early and comprehensively for the quantum revolution to mitigate future risks and uphold public trust in digital financial services.
The MAS and BdF collaboration underscores the urgent necessity for widespread PQC adoption across various security measures. Emphasizing cryptographic agility has been identified as essential to guarding against imminent quantum threats. This project is a key component in an ongoing, broader initiative to strengthen financial systems as the quantum computing era draws near. Ensuring these measures are in place is critical to maintaining the integrity and security of financial communications in the face of rapidly advancing technology.
