Dragonfly partner rejects ‘bunker mode’ doomerism, calls for proactive blockchain measures
Dragonfly’s Qureshi argued that asset migration is not a real solution in case of AI models breaking cryptographic signatures, and urged blockchains to adopt proactive measures.
Haseeb Qureshi, Dragonfly's managing partner, dismissed Ethereum researcher Justin Drake's "bunker mode" warning as "cryptographic doomerism." Qureshi contended that merely migrating tokens to new addresses would not effectively safeguard investors' assets against the possibility of AI models breaking cryptographic signatures. In an X post, he emphasized that moved coins would become "worthless if all of the other coins are being hacked and mass-sold."
Instead, Qureshi advocated for implementing a "Cryptographic Recovery Mode," a hash-based backup signature system that would enable validators to force recovery in the event of cryptographic signatures being compromised. According to Glassnode, over 31% of Bitcoin's supply is at risk, with 6.26 million BTC currently residing in vulnerable addresses.
Approximately 4.33 million of these coins are exposed due to address reuse, and another 1.94 million due to their address format. Notably, 57% of all exchange balances are exposed, with nearly 1.8 million BTC held on cryptocurrency exchanges.
Written by urgent.news from Cointelegraph's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
