Changpeng “CZ” Zhao, the CEO of Binance, stated on Friday, October 23, that concerns surrounding AI’s potential to hack into cryptocurrencies are unfounded. He pointed out that while the internet and banking systems utilize less robust encryption methods, AI is indeed increasing the threat of phishing and social engineering attacks on average users. This statement by CZ dominated the Bitcoin headlines as the market price settled at $81,817, a decrease of 0.8% over the past day.
Bitcoin maintained a position above $81,000 through the night, with large investors continuing their purchasing activities. This raises the question: Are threats from AI and quantum computing legitimate, and what steps must Bitcoin take to recover from its current state?
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Bitcoin Insights: The Reality of AI and Quantum Computing Risks
For now, the code remains secure. While AI algorithms can detect software vulnerabilities and generate believable scams, they lack the capability to decipher the math behind Bitcoin private keys. CZ emphasized that the same public-key cryptography safeguards not only Bitcoin but also web transactions and online banking activities. If a machine were to decode Bitcoin keys, it would similarly jeopardize these other systems.
Concerns regarding quantum computing are more of a long-term issue. Currently, no quantum computer has the capability to break Bitcoin’s digital signatures. Nevertheless, the Quantum Alliance—a consortium of nine cryptocurrency firms—believes that approximately 6.4 million BTC, or 30% of the supply, are stored in wallets with public keys exposed on the blockchain, including those attributed to Satoshi Nakamoto.
Opinions among experts vary regarding timing. Richard Carback, CTO of Postquant Labs, posits that by 2028, we could see a machine capable of compromising current encryption standards. Others remain hesitant to predict a timeline.
Developers in the Bitcoin community are considering BIP-360, a proposal to establish quantum-resistant addresses, though it is still in the drafting phase.
Why are users particularly vulnerable? Simply put, attackers often rely on social engineering rather than directly breaking security measures. Utilizing stolen emails, phone numbers, and purchase records allows scammers to craft messages that appear legitimate, coming from exchanges or wallet providers. AI technology enhances these fraudulent communications, making them more cost-effective and difficult to detect.
Supporting CZ’s claims, Chainalysis reports that AI-assisted scams generated profits 4.5 times greater than traditional scams in 2025, with impersonation scams surging over 1,400%. Total revenue lost to cryptocurrency scams was estimated at around $17 billion.
This marks CZ’s second warning about security issues within just three days. On Wednesday, he cautioned users about vulnerabilities on any website after discovering two critical flaws in PHP that exposed millions of servers.
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Analyzing Bitcoin Prices: Is There Room for Growth from $81,000?
Buyers have stepped in to support the price level on two separate occasions within two days. Bitcoin fell to $80,940 on Thursday and $81,118 on Friday, successfully holding above its 50-day exponential moving average, which currently stands at $80,880.