The Monetary Authority of Singapore (MAS) has issued a directive to the country's financial institutions, urging them to ready themselves for the increasing cybersecurity threats posed by quantum computing.

Experts foresee that within the next decade, quantum computers with cryptographic relevance will emerge, posing significant cybersecurity risks. These advanced machines are expected to compromise commonly-used asymmetric cryptography, potentially necessitating larger key sizes for maintaining security in symmetric cryptography.

A recent white paper by the Depository Trust & Clearing Corporation (DTCC) cautioned that quantum computing could expose even the most rigorously protected computer systems to hacking, creating new and substantial risks for financial firms.

In its advisory to financial services (FS) firms, MAS emphasized the necessity for achieving 'cryptoagility'. This entails the ability to swiftly transition from vulnerable cryptographic algorithms to post-quantum cryptography without causing significant disruptions to IT systems and infrastructure.

To assist FS firms in this endeavor, MAS outlined several key steps. This includes staying abreast of developments in quantum computing, ensuring that management and third-party vendors are well-versed in the subject matter, and collaborating with vendors to assess risks within the IT supply chain.

Moreover, MAS recommended that firms maintain a comprehensive inventory of cryptographic assets and prioritize critical assets for migration to encryption methods that are resistant to quantum threats.