Crypto exchanges face rising risks from exploits, encouraging real-time security, MPC key management, and AI monitoring, preventing large-scale losses.
Quantum Computing looms as a future threat, driving blockchain projects to adopt quantum-safe cryptography before attackers attack.
The crypto market is under pressure. Bitcoin went below $111,000 after the macroeconomic shock, and liquidity stress sent cascade losses across the platform. Meanwhile, the violation continues to attack.
Recent exploitation of UXLink has led attackers to fill billions of tokens and dump values, sweeping millions in seconds. Plus, there have been the billion-dollar bridge hacks in recent years, and the risks faced by the exchange have never been clear.
In an interview with CoinpediaBaek didn’t pull the punch. “Exchanges need to treat blockchain risks as real-time operational signals. If billions of dollars can disappear in one exploit, speed and preparation are all about it.”
Exchange security in real time
Baek recommends replacing gate deposits and drawers based on live chain health metrics such as confirmation times, churns on the verification device, or spikes on suspicious activity. Modern risk engines should act like independent co-signers who simulate all transactions before approval. Powerful Key Management – also essential to prevent catastrophic losses through multi-party calculations and hardware-assisted signers.
Decentralization and compliance
Baek believes that decentralization and regulation can cooperate, far from being an enemy. “The future of cryptographic studies is more likely to focus on compliance that provides privacy.” Zero knowledge proof allows users to prove that they have passed the check without revealing their personal data, but AI-driven monitoring tools can detect anomalous activity in real time. This hybrid approach allows open access to everyday users and provides verifiable assurances for regulators against institutional transactions.
Quantum threat on the horizon
The most long-term challenges can come from quantum computing. Algorithms like Shor’s can break today’s encryption signatures, allowing attackers to formulate transactions and steal funds. Even before that, attackers are already collecting encrypted data today in the hopes of decrypting it later.
Baek warns: “Quantum Computing is like an asteroid that you can already see on the horizon. We know it’s coming. We have time to build a deflection plan.
The Future-Looking Project is already testing quantum-safe signature and migration tools. People who adapt early may gain both security and user trust, but those who delay risk chaos when the first real quantum attack hits the headline.
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