MFSA Joins Global Pilot Testing Quantum-Resistant Security for Bank Wallets

Malta's Financial Services Authority (MFSA) has joined a live pilot testing post-quantum cryptography on bank wallets and cross-border digital asset transfers, positioning Malta among a small group of regulators getting hands-on experience with technology designed to withstand attacks from future quantum computers.

The pilot tests a multi-party computation protocol built around ML-DSA-65, a digital signature standard finalised by the US National Institute of Standards and Technology in 2024 as one of the first algorithms designed to resist quantum-computer attacks. The pilot runs on a quantum-resistant version of the NEAR blockchain's testnet, covering wallet generation and transfer activity, rather than live infrastructure or real customer funds.

Alongside the MFSA, Abu Dhabi Global Market and Bhutan's Gelephu Financial Services Office are taking part as regulatory observers, with Portugal's Bison Bank and DK Bank participating as the pilot's banking partners. Additional institutions are reportedly in discussion to join.

Alan Decelis, the MFSA's Head of Supervisory ICT Risk and Cybersecurity, said the initiative gives the Authority a way to build direct understanding of the operational and governance questions quantum-safe migration raises, ahead of having to supervise that transition in practice.

RFI Chairman Chia Hock Lai framed the initiative as a shared industry reference rather than a single vendor's product, aimed at giving regulators and financial institutions across jurisdictions a common, transparently tested architecture to build from. Safeheron, which leads the pilot's technical work, has said it intends to open-source its code once complete.

By taking part early, Malta joins a small group of jurisdictions positioning themselves ahead of a security challenge the wider financial sector will eventually need to address, gaining practical insight into quantum-safe infrastructure well before it becomes a live supervisory requirement.