The Hong Kong Monetary Authority (HKMA) has launched a Quantum Preparedness Index (QPI) for the banking sector. The initial assessment scored 2.3 out of 10 points.
The regulator also released a white paper on financial institutions' preparation for risks related to quantum computing. According to the HKMA, 32% of the surveyed banks have not yet started transitioning to post-quantum protection, and about half do not have a formal plan. Meanwhile, approximately 68% of organizations are already aware of the risks or are in the planning and pilot project stages.
About one-third of the surveyed sector representatives are studying or piloting quantum initiatives. For roughly half, the topic has already been discussed at the board level.
The HKMA plans to bring the sector's readiness to 10 points by 2030. To achieve this, the regulator will prepare a toolkit on post-quantum cryptography in collaboration with the Hong Kong University of Science and Technology Business School and industry participants, as well as conduct training workshops.
In the white paper, the HKMA indicated that quantum computers capable of applying Shor's algorithm at scale in the future could threaten widely used cryptographic algorithms, including RSA and elliptic curve cryptography.
The regulator urged banks to proactively inventory their cryptographic systems, assess risks, and prepare migration plans. The Authority emphasized that replacing embedded security mechanisms could take years.
The HKMA also linked preparation for quantum risks to the expansion of tokenization in Hong Kong.
Since 2023, Hong Kong authorities have conducted three issuances of tokenized green bonds. The first issuance amounted to HKD 800 million, the second—approximately HKD 6 billion, and the third—around HKD 10 billion. The total volume reached approximately HKD 16.8 billion.
In June, the regulator established an expert group to expand the application of tokenization in the debt market. The HKMA also cited the example of HSBC: in 2024, the bank tested quantum-resistant technology for operations with tokenized gold.
Quantum & After. Can Money Be Made on Quantum Technologies?
Recall that in July, Quantum Xchange CEO Eddie Zervigon stated that Bitcoin and other cryptocurrencies could be the first to face a practical threat from quantum computing when the technology becomes capable of breaking cryptographic mechanisms.
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