Quantum computing promises breakthroughs in fields like drug discovery and AI, but it also poses an existential threat to modern encryption. As organizations store and transmit sensitive data, compliance teams must understand how quantum advancements could render current cryptographic methods obsolete — and what steps to take now to future-proof their security frameworks.
The Quantum Threat to Modern Encryption
Today’s encryption relies on mathematical problems that classical computers struggle to solve, such as factoring large prime numbers (RSA) or solving elliptic curve equations (ECC). Quantum computers, however, can exploit algorithms like Shor’s algorithm to break these systems in hours or minutes, rather than the millennia required by classical machines. For example:
-
RSA and ECC: Vulnerable to Shor’s algorithm, which efficiently factors large numbers and solves discrete logarithms.
-
AES (symmetric encryption): While more resilient, Grover’s algorithm could halve its effective security, necessitating longer key sizes (e.g., AES-256).
This vulnerability extends beyond theoretical risks. In 2024, researchers demonstrated quantum-enabled RSA decryption using existing hardware, signaling that “Q-Day” — when quantum computers can crack today’s encryption — may arrive sooner than anticipated.
The Shift to Quantum-Resistant Cryptography
To counter this threat, post-quantum cryptography (PQC) — algorithms designed to withstand quantum attacks — is emerging as the new standard. Key developments include:
NIST’s Quantum-Resistant Standards
In 2024, NIST finalized its first PQC standards, prioritizing three approaches:
| Algorithm | Type | Use Case |
|---|---|---|
| ML-KEM | Lattice-based | General encryption (e.g., TLS) |
| ML-DSA | Lattice-based | Digital signatures |
| SLH-DSA | Hash-based | Stateless digital signatures |
These algorithms rely on mathematical problems (e.g., structured lattices) that even quantum computers struggle to solve.
Hybrid Cryptography
Many organizations are adopting hybrid systems that combine classical and PQC algorithms during the transition period. This ensures backward compatibility while mitigating immediate risks.
Symmetric Encryption Adjustments
For AES and similar protocols, doubling key lengths (e.g., from 128-bit to 256-bit) can counter Grover’s algorithm, making them quantum-safe.
What Compliance Teams Must Do Now
Regulators worldwide are updating frameworks to address quantum risks. For example, HIPAA requires data protection over decades — a timeline that overlaps with Q-Day’s projected arrival. Compliance strategies should include:
-
Conduct a Cryptographic Inventory
Audit existing encryption protocols across systems, identifying dependencies on vulnerable algorithms like RSA or ECC. -
Prioritize High-Risk Assets
Begin migrating sensitive data (e.g., intellectual property, healthcare records) to quantum-resistant encryption first. -
Adopt Phased Migration
Transition to hybrid or full PQC systems incrementally to avoid operational disruption. -
Update Policies and Controls
-
Mandate PQC compliance for third-party vendors.
-
Implement cryptographic agility to swiftly adapt to future standards.
-
-
Monitor Regulatory Changes
Track updates from NIST, ENISA, and the Cloud Security Alliance, which are actively shaping PQC guidelines. -
Prepare for Long-Term Confidentiality
Assume today’s encrypted data could be harvested and decrypted post-Q-Day. Strengthen encryption for long-lived data.
Wrapping It Up
Quantum computing’s impact on cryptography is not a distant concern — it’s becoming a compliance priority today. Compliance teams are realizing the need to act as catalysts for this transition, ensuring their organizations are not merely reactive but strategically prepared for the quantum era.
Additional Reference: Internal audit can help mitigate Q-day quantum risks (GrantThornton)
