Banking consortium tests MPC with lattice-based cryptography on NEAR Protocol’s quantum-resistant testnet

Quantum computing is still mostly a theoretical threat to financial infrastructure, but the institutions that move slowly on cryptographic upgrades tend to be the ones scrambling later. NEAR Protocol, alongside the Responsible Fintech Institute and technology firm Safeheron, is not waiting around.

On August 23, 2026, the Responsible Fintech Institute convened a cross-regional pilot consortium explicitly designed to stress-test post-quantum cryptography in live institutional digital asset workflows. The group ran wallet generation and on-chain transfer simulations on NEAR’s quantum-resistant testnet, using a multi-party computation protocol built on the NIST FIPS 204 ML-DSA-65 lattice-based digital signature standard.

What the pilot actually involves

Multi-party computation, in plain terms, means no single party ever holds a complete private key. The consortium is testing a non-custodial 2-of-2 MPC design, meaning both parties must participate in every signing event, and neither can act unilaterally.

The lattice-based signature scheme at the center of this is ML-DSA-65, one of the standards NIST finalized as part of its post-quantum cryptography project. NEAR explicitly selected the lattice-based approach over hash-based alternatives, a deliberate architectural choice.

Safeheron is leading development of both the MPC protocol itself and the ML-DSA-65 signing application. The consortium has committed to open-sourcing that code after the testing phase, along with publishing a whitepaper covering pilot findings.

NEAR first signaled its post-quantum direction in May 2026, selecting ML-DSA as its initial quantum-safe signature scheme. The August pilot represents the next step in that roadmap, moving from protocol-level design decisions to actual consortium testing with real financial institutions in the loop.

Who is at the table

The participant list matters as much as the technology. Bison Bank and DK Bank are among the banking institutions involved. On the regulatory side, the Abu Dhabi Global Market and the Malta Financial Services Authority are participating, which gives the pilot a notable cross-jurisdictional character.

The timing also aligns with broader regulatory momentum. Singapore and Hong Kong have both been pushing forward frameworks around fintech innovation and quantum preparedness. The RFI consortium appears designed to generate cross-jurisdictional data that regulators in multiple markets can reference when setting their own standards.

Why quantum threats to crypto are not a distant problem

Most public-key cryptography in use today, including the signature schemes underpinning the majority of blockchain networks, relies on mathematical problems that classical computers find intractable. A sufficiently powerful quantum computer running Shor’s algorithm could theoretically break those assumptions.

NIST’s finalization of post-quantum standards, including the ML-DSA standard at the center of this pilot, reflects an institutional consensus that preparation needs to happen ahead of the threat materializing.

For the banks and regulators participating in this consortium, the practical question is not whether to eventually adopt quantum-resistant cryptography. It is whether they can develop operational experience with it before they are required to use it. A pilot that generates real data on wallet generation latency, signing performance, and cross-jurisdictional operational workflows is meaningfully more useful than a theoretical framework document.

The open-source commitment from Safeheron adds another layer to this dynamic. If the MPC protocol and signing application are released publicly, other networks and custodians can adopt or adapt them, potentially accelerating industry-wide post-quantum readiness.