The WFE calls on regulators to balance quantum computing risks against more immediate operational challenges

 

PRESS RELEASE

The WFE calls on regulators to balance quantum computing risks against more immediate operational challenges

London, 14 January 2026 - The World Federation of Exchanges (“WFE”), the global industry association for exchange groups and CCPs, has warned of a substantial gap between regulatory expectations and industry expectations around quantum computing risk preparedness. Major public authorities, standards bodies, and cross-border policy groups have begun issuing guidance, calling for early preparation and coordinated migration to post-quantum cryptography (PQC). This is driven by two core concerns:

• Long lead times required to upgrade cryptographic systems; and
• The “harvest now, decrypt later” threat where attackers steal encrypted data today to unlock it in future once more powerful technologies become available to break the encryption.

The WFE Global Cybersecurity Working Group recently conducted a preliminary survey on the Quantum Computing Preparedness, the results of which highlight the importance of other competing priorities. In particular, Generative AI risks are viewed as far more urgent and immediate, consuming most organisational attention and investment. Quantum Computing is seen as a longer-term threat, with many firms hesitant to commit too many resources until clearer timelines or stable standards emerge.

Most WFE members estimate a 5–10+ year window before cryptographically relevant quantum computers (CRQCs) emerge, in line with NIST FAQs.[1] Consequently, resourcing remains proportionate to a long-term risk, not an imminent one, and shouldn’t be prioritised at the expense of more immediate operational concerns such as AI-driven threats and Cyber Resiliency. This is consistent with the WFE’s 2025 Annual Survey of Risks where AI and Cyber Resilience risks continued to be ranked highest by members, as they have consistently for two years. 

Although members do not consider Quantum Computing risk to be imminent, they have already begun laying the necessary groundwork for future preparedness, including:

• Actively monitoring regulatory guidance, vendor progress, and developments in NIST standardisation. Several are incorporating Quantum Computing discussions into risk committees and cyber governance forums.
• Preliminary quantum risk assessments.
• Including quantum-safe encryption criteria in procurement and vendor evaluation cycles.
• Considering projects to map existing cryptographic assets, as the first step in any migration roadmap.
• Working with the WFE to develop a best-practice guide on quantum transition, and a structured roadmap for market infrastructures.

Nandini Sukumar, CEO of the World Federation of Exchanges, said, “While Quantum Computing readiness is undoubtedly important, the migration to post-quantum cryptography remains a long-term undertaking, and the practical groundwork - planning, asset mapping, and vendor coordination - should be paced appropriately. Whilst exchanges recognise that Quantum Computing is a meaningful risk, regulators must understand that preparation should not deflect from more imminent risks related to AI and Cyber Resilience.”

Read the full paper here.

For more information, please contact:

Cally Billimore

Communications Manager

[email protected]

+44 7391 204 007

About the World Federation of Exchanges (WFE):

Established in 1961, the WFE is the global industry association for exchanges and clearing houses. Headquartered in London, it represents the providers of over 250 pieces of market infrastructure, including standalone CCPs that are not part of exchange groups. Of our members, 37% are in Asia Pacific, 43% in EMEA and 20% in the Americas region. The WFE’s 87 member CCPs and clearing services collectively ensure that risk takers post some USD 1.1 trillion (equivalent) of resources to back their positions, in the form of initial margin and default fund requirements. The exchanges covered by WFE data are home to over 49,054 listed companies, and the market capitalization of these entities is over USD116.58tr; around USD155tr in trading annually passes through WFE members (at end-2024).

The WFE is the definitive source for exchange-traded statistics and publishes over 350 market data indicators. Its free statistics database stretches back 50 years and provides information and insight into developments on global exchanges. The WFE works with standard-setters, policy makers, regulators and government organisations around the world to support and promote the development of fair, transparent, stable and efficient markets. The WFE shares regulatory authorities’ goals of ensuring the safety and soundness of the global financial system. With extensive experience of developing and enforcing high standards of conduct, the WFE and its members support an orderly, secure, fair and transparent environment for investors; for companies that raise capital; and for all who deal with financial risk. We seek outcomes that maximise the common good, consumer confidence and economic growth. And we engage with policy makers and regulators in an open, collaborative way, reflecting the central, public role that exchanges and CCPs play in a globally integrated financial system. If you have any further questions, or wish to follow-up on our contribution, the WFE remains at your disposal.[2] 

Website: www.world-exchanges.org

Twitter: @TheWFE

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[1] https://pages.nist.gov/nccoe-migration-post-quantum-cryptography/FAQ/index.html

[2] Our EU Transparency Register number is 973382524675-69

 

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