Cyber Security

Quantum computing, AI, & Metaverse fuel perfect storm for cyberattacks

28th January 2025
Paige West
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The financial and operational damage caused by data breaches is poised to worsen dramatically, fuelled by advancements in quantum computing, Metaverse and artificial intelligence (AI).

A global study conducted by post-quantum security specialists Naoris Protocol, reveals that the average cost of a data breach could climb to $5.3 million within five years, up from the current $4.88 million.

Almost all Web3 developers surveyed (95%) believe data breach costs will continue to rise, with 18% predicting these costs could exceed $5.5 million by the end of the decade. The overwhelming majority (97%) also see the Metaverse, AI, and machine learning as accelerants for more frequent and sophisticated cyberattacks.

The Metaverse and AI: a double-edged sword

As the Metaverse evolves into a more integrated part of the digital economy and AI capabilities grow exponentially, new threats and vulnerabilities emerge. Over 41% of surveyed developers strongly agree that these technologies will drive a significant increase in cyberattacks.

David Carvalho, CEO & Founder of Naoris Protocol, notes: “The fusion of the Metaverse and AI is creating a larger attack surface for hackers, while quantum computing threatens to undermine traditional encryption methods. The risks are real, and the cost implications are staggering.”

DePIN: transforming security through decentralisation

Web3 developers are rallying behind Decentralised Physical Infrastructure Networks (DePIN) as a solution to the growing cybersecurity challenges. DePIN decentralises critical infrastructure, such as network nodes, data centres, and Cloud systems, reducing reliance on centralised entities and enhancing overall resilience.

This approach mirrors the transformative impact of railroads in the 19th century, which reshaped economies by revolutionising connectivity.

The study reveals strong optimism for DePIN’s potential:

  • 37% of Web3 developers strongly agree that DePIN could have a revolutionary impact on global infrastructure
  • 59% slightly agree, with only 2% dissenting

With successful examples like Arewave’s decentralised storage network and Render Network's distributed GPU rendering, DePIN’s scalability and efficiency are clear.

“DePIN reduces single points of failure and empowers communities to take control of infrastructure, fostering both security and economic incentives,” Carvalho adds.

Preparing for a quantum-driven cybersecurity landscape

The rise of quantum computing further underscores the urgency of adopting decentralised security frameworks. Quantum computers are expected to break traditional encryption techniques, putting sensitive data at unprecedented risk.

According to Naoris Protocol’s research, 95% of developers are concerned about quantum computing’s implications, with 36% expressing significant concern. However, 87% believe DePIN technology can play a pivotal role in addressing these threats over the next decade.

Naoris Protocol

Naoris Protocol has joined the DePIN Association, solidifying its position at the forefront of decentralised cybersecurity innovation. The company’s Post-Quantum powered Decentralised Security Layer Architecture is tailored to secure systems and validate assets beyond traditional cybersecurity perimeters. By fostering trust among devices, systems, and processes, Naoris Protocol empowers industries – from finance to healthcare – to transition from isolated silos to collaborative, decentralised models.

Carvalho emphasises: “The Web3 community understands that decentralisation is key to future-proofing our digital ecosystem. DePIN’s rapid adoption signals a growing recognition of its value in tackling today’s – and tomorrow’s – cybersecurity challenges.”

A clarion call for action

The findings make it clear: businesses must prioritise decentralised solutions to counteract rising cyber risks. With the integration of AI, the Metaverse, and quantum computing, the cybersecurity landscape is evolving at a breakneck pace. Organisations that fail to adapt risk falling victim to ever-increasing breaches and losses.

Naoris Protocol’s efforts in the DePIN space are a testament to the power of innovation in securing the future of digital trust. As DePIN reshapes global infrastructure, the Web3 ecosystem stands poised to lead the charge toward a safer, more resilient digital world.

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