BlackRock has flagged quantum computing as a potential risk to its iShares Bitcoin ETF (IBIT) in a recent regulatory filing. BlackRock highlighted the threat from emerging technologies, specifically quantum computing, to the cryptographic security of Bitcoin and blockchain networks.

BlackRock warned that advances in quantum computing could undermine the cryptographic algorithms protecting digital assets like Bitcoin. It is the first time BlackRock has explicitly mentioned this risk in relation to the IBIT ETF, with $64 billion in net assets.

Despite the warnings, analysts suggest that such risk disclosures are standard practice for financial products. James Seyffart, an analyst at Bloomberg Intelligence, noted that firms are required to flag all possible risks, even those with a very low likelihood of occurring.

Meanwhile, Bitcoin ETFs have seen a surge in popularity, attracting over $41 billion in net inflows since their launch.

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