Mike Novogratz Refutes Immediate Threat of Quantum Computing to Bitcoin

The CEO of Galaxy Digital, Mike Novogratz, offered a reassuring perspective on one of the industry’s growing concerns: the threat of quantum computing to Bitcoin security. In recent comments, Novogratz argued that the Bitcoin network has the tools necessary to adapt and withstand future quantum attacks, and that this threat is more often used as a justification for other market movements.

A Convenient Excuse to Justify Position Exits

The issue of quantum risk has gained prominence in recent months, with several Wall Street players citing this concern as a reason to reduce their Bitcoin exposure. Christopher Wood, Global Head of Equity Strategy at Jefferies, for example, withdrew a 10% allocation to Bitcoin from his portfolio in January, citing worries related to quantum computers.

However, Mike Novogratz believes that quantum has mainly served as a pretext. “Quantum has been people’s big excuse,” he said during an earnings conference. He clarifies that while quantum computing does pose a long-term challenge to the world, Bitcoin and the crypto ecosystem will have mechanisms to address it. “As we approach this technological threat, we will become more resistant to quantum. Bitcoin’s code will be adapted in due time,” he assured.

This stance contrasts with concerns expressed by other institutions. The Ethereum Foundation has recently elevated post-quantum security to a strategic priority, while Coinbase has acknowledged the potential for a real long-term threat. Experts generally agree that sufficiently powerful quantum computers capable of posing a genuine danger are probably decades away.

The Original Founders Liquidate Their Reserves

Another topic addressed by Novogratz concerns the accelerated Bitcoin sales by early holders, often called “OGs.” This dynamic gained momentum last year, notably during a massive transaction facilitated by Galaxy: a $9 billion exit involving over 80,000 bitcoins from an investor from the Satoshi era.

Although Galaxy presented this sale as part of a succession strategy, it reignited debates about whether the Bitcoin community’s original believers are losing confidence in the HODLing philosophy (holding assets despite volatility). Mike Novogratz considers this trend inevitable: once the early believers start taking profits, a cycle begins. “You sell a little, then you sell a little more, and holding your position gradually becomes more difficult,” he explains.

“There was a real religious faith around the concept of HODLing, of never letting go of your bitcoins,” continued the Galaxy CEO. “But this fervor has gradually faded, and we’ve started to see the first massive liquidations.” He sees this evolution as a natural market transition, where maturity brings greater economic reality.

Market Dynamics and Short-Term Outlook

Bitcoin has retained most of its recent gains, trading around $70,900 with a 4.51% increase over 24 hours. Altcoins, including Ether, Solana, and Dogecoin, have recorded similar gains of about 5%.

According to analysts, Bitcoin’s next significant move will largely depend on the stabilization of oil prices and maritime traffic through the Strait of Hormuz. Stabilization could allow a new attempt at levels between $74,000 and $76,000, while deterioration of these conditions could push prices back toward $60,000. Meanwhile, broader stock markets (S&P 500 and Nasdaq) each rose about 1.2%, reflecting a certain risk appetite in the wider ecosystem.