The rapid development of artificial intelligence is raising new concerns about the security of Bitcoin and Ethereum. Justin Drake, a researcher at the Ethereum Foundation, has urged the cryptocurrency industry to prepare for a possible future in which AI-powered mathematical breakthroughs could threaten the cryptography protecting digital assets.
On October 7, Drake called on the industry to adopt what he described as “bunker mode” as a strategy focused on strengthening wallet security before a potential threat becomes a reality.
Cryptocurrency wallets rely on public and private keys to secure funds and authorize transactions. While public keys can be shared, private keys must remain secret because anyone who obtains them can gain control of the associated assets.
Drake warned that advanced AI systems could eventually discover mathematical shortcuts that allow attackers to recover private keys from exposed public keys. In a worst-case scenario, he suggested that the Elliptic Curve Digital Signature Algorithm (ECDSA), used in Bitcoin and other cryptocurrencies, could become vulnerable within months.
However, no practical AI attack has demonstrated the ability to break Bitcoin or Ethereum wallet cryptography. The warning concerns a possible future risk rather than an existing security failure.
Fresh Wallet Addresses Could Help Reduce Potential Risks
As part of his proposed “bunker mode” strategy, Drake recommends that cryptocurrency holders gradually move their funds to new wallet addresses that have never signed a transaction.
Such addresses keep their public keys hidden behind cryptographic hashes, making it harder for a potential attacker to access the information needed for a hypothetical private-key recovery attack.
Drake believes large cryptocurrency holders, exchanges, and financial institutions should take the lead in strengthening their security measures. He also identified Binance, Bitbank, Robinhood, Bitfinex, and Tether as companies with opportunities to improve their cold-storage protection.
However, Ethereum co-founder Vitalik Buterin has advised rushing into immediate wallet migrations. He acknowledged that AI-driven advances in mathematics deserve serious attention but warned that hurried transfers could introduce unnecessary risks and lead to financial losses.
Buterin also emphasized the importance of preparing weaknesses in emerging cryptographic systems, including lattice-based schemes. He agreed that moving funds to never-used addresses could make sense for holders who can do so easily and safely.
AI and Quantum Computing Challenge Crypto’s Future Security
The debate comes as the cryptocurrency industry continues preparing the potential threat of quantum computers. Powerful quantum machines could eventually break some of the cryptographic systems currently used to protect digital assets.
Drake believes AI could accelerate this timeline by helping researchers discover mathematical weaknesses sooner than expected. He has therefore called for existing security plans to be reviewed and potentially accelerated.
Ethereum is already developing a post-quantum security roadmap that includes hash-based cryptography. According to the discussion, potential upgrades to Ethereum’s base layer could be completed by 2029, although the timeline may need to change as new risks emerge.
Despite these concerns, experts have not established when, or whether, AI will become capable of breaking current cryptocurrency signature schemes.
For now, the priority is preparation rather than panic. Strengthening wallet security, researching alternative cryptographic methods, and planning carefully for future threats could help protect digital assets as AI technology continues to advance.
