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Published:
29.7.2025
Last Updated:
30.7.2025

Quantum Computing and Law

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Preparing Legal Systems for the Next Tech Revolution

The United Nations General Assembly has designated 2025 as the International Year of Quantum Science and Technology (IYoQST). This designation reflects a growing global recognition of the transformative potential of quantum technologies and the urgent need for thoughtful governance in the face of accelerating innovation and rising public interest. In this publication, we will delve deeper into quantum computing and its legal and regulatory effects, particularly focusing on quantum computing and law.

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Copyright © 2025 Chetcuti Cauchi. This document is for informational purposes only and does not constitute legal advice. Professional legal advice should be obtained before taking any action based on the contents of this document. Chetcuti Cauchi disclaims any liability for actions taken based on the information provided. Reproduction of reasonable portions of the content is permitted for non-commercial purposes, provided proper attribution is given and the content is not altered or presented in a false light.

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what's inside

Preparing Legal Systems for the Next Tech Revolution

The United Nations General Assembly has designated 2025 as the International Year of Quantum Science and Technology (IYoQST). This designation reflects a growing global recognition of the transformative potential of quantum technologies and the urgent need for thoughtful governance in the face of accelerating innovation and rising public interest. In this publication, we will delve deeper into quantum computing and its legal and regulatory effects, particularly focusing on quantum computing and law.

  • Intellectual Property (IP) Challenges: Complex nature of quantum algorithms and hardware  
  • Data Security Considerations: Risks to encrypted data  
  • Legal Risk Management: Legal safeguards including contractual updates tailored to quantum computing  

Quantum Computing in a Nutshell

Quantum computing is an emergent field of computing science and engineering that leverages qualities of quantum mechanics to tackle problems that are currently beyond the ability of even the most advanced computers.  

Unlike regular computers that use tiny switches called bits—which can be either a 0 or a 1—quantum computers use special bits called qubits. Qubits are unique because they can be both 0 and 1 at the same time, thanks to strange effects in quantum physics like superposition and entanglement. These abilities let quantum computers solve certain problems much faster than even the most powerful traditional computers.

Legal Implications of Quantum Computing

Intellectual Property (IP) Challenges in Quantum Law

Quantum computing is creating a new intellectual property frontier. Patenting of quantum algorithms and hardware is proving to be very challenging. Currently, mathematical formulas cannot be subject to a patent. Perhaps, it is ripe time to consider algorithms more than merely mathematical equations.  

Another problem is identifying and confirming the essential requirements of novelty, inventive step and industrial application.  

These algorithms use the principles of quantum mechanics for their design and implementation.  They rely on managing complex quantum states, which makes them hard to describe clearly. Since there’s no standard way to write them down, patenting these algorithms can be tricky and unclear.  The novelty and existence of an inventive step of the formulations to an examiner may be difficult to decide.  

It is also difficult to prove industrial applicability and potential for commercialization of the inventions. Many algorithms and systems are still theoretical or based on small scale testing. This makes it difficult to show real-world application and value.  

The Role of Law

One key concern is balancing the protection of new ideas with the need to encourage further innovation through knowledge sharing. While patents can motivate investment by giving inventors exclusive rights, overly broad or restrictive patents might block others from entering the field or building on existing work.

To tackle this, policymakers could consider updating patent laws to better fit the unique nature of quantum technologies. This might include creating standard ways to describe quantum inventions, setting clear guidelines for what qualifies for a patent, and invest in trained examiners with quantum expertise.

Cybersecurity, DeFi, and Blockchain in Quantum Law

The emergence of quantum computing presents serious legal challenges, especially in cybersecurity, decentralised finance (DeFi), and blockchain governance. Quantum computers could potentially break current encryption standards, leading to data breaches, financial fraud, identity theft, and regulatory violations. In decentralised systems like blockchain, the absence of a central authority complicates efforts to coordinate security updates or assign accountability if encryption is compromised.

For businesses and Web3 projects, failing to address quantum threats could result in legal exposure. Entities handling sensitive data or digital assets—such as exchanges and payment platforms—may face lawsuits or regulatory penalties if they neglect to implement adequate protections. Legal claims could include negligence, breach of contract, or misrepresentation, particularly in jurisdictions that mandate reasonable safeguards against foreseeable risks.

The rapid advancement of quantum computing poses a serious and multifaceted threat to current encryption systems. This section explores the potential impact of quantum on data security and outlines key legal and regulatory measures needed to safeguard information in the quantum era.

Modern digital security relies heavily on public-key cryptography, which uses complex mathematical problems—such as factoring large numbers or solving discrete logarithms—that are practically impossible for classical computers to solve within a reasonable time. However, quantum computers could solve these problems efficiently, putting encrypted data at risk.

The threat goes beyond immediate data breaches. Quantum computing also endangers forward secrecy—the principle that encrypted data remains secure over time. Data encrypted today and stored for the long term could be decrypted in the future once quantum capabilities mature, exposing sensitive information that was once considered secure. The concern of ‘harvest now-decrypt later’ is quickly becoming a reality in the quantum age.  

To address this, proactive legal frameworks and regulatory standards are essential to ensure long-term data protection in a post-quantum world.

Current Regulatory Landscape

The regulation of quantum technologies remains in its early stages. However, as the transformative potential—and associated risks—of quantum computing become clearer, governments and international bodies are beginning to act. Security and privacy concerns have prompted increased attention from policymakers.

While comprehensive regulatory frameworks specific to quantum technologies are still under development, certain aspects are already addressed under existing laws. For instance, cybersecurity, data protection, and intellectual property regimes may apply to quantum-generated or quantum-processed data. The EU’s General Data Protection Regulation (GDPR), for example, could govern how quantum data is handled, while patent laws continue to protect innovations in quantum algorithms and hardware.

EU Initiatives

The EU has recognized the strategic importance of quantum technologies and is actively working to support their development and governance. Since launching the €1 billion Quantum Flagship initiative in 2018, the EU has aimed to position itself as a global leader in quantum research and innovation. This initiative not only supports scientific excellence but also addresses the societal and ethical implications of quantum technologies.  

In 2025, the European Commission reaffirmed its commitment to a coordinated regulatory approach by advancing the development of a European Quantum Policy. This policy aims to establish a coherent framework for the deployment, standardization, and oversight of quantum technologies across the EU. However, the Commission has indicated that dedicated legislative proposals specific to quantum technologies are unlikely to be introduced any time soon. 

Adding to the complexity is the global and interdisciplinary nature of quantum research and development. Effective regulation will require international cooperation among governments, industry leaders, academic institutions, and civil society. Recent efforts, such as the G7’s 2025 commitment to coordinated quantum governance, signal a growing recognition of the need for shared standards, ethical oversight, and cross-border collaboration.

As quantum technologies move closer to real-world deployment, businesses must stay ahead of evolving risks and regulatory expectations to ensure they are prepared for the post-quantum era.

Looking Ahead

Legal Risk Management in the Quantum Era

Managing legal risk is just as important as implementing technical safeguards.  

Projects should also consider updating their force majeure clauses to explicitly include quantum-related risks. And exclusion of liabilities in service level agreements amongst others. These provisions can account for unforeseen technological disruptions—such as quantum breakthroughs that compromise encryption or blockchain integrity—helping shield parties from liability in the event of unauthorized access, data breaches, or regulatory violations.

Additionally, user education is vital. Users need to understand the risks quantum computing poses to cryptographic systems and take steps to protect their assets. This includes adopting quantum-resistant authentication, managing keys securely, and avoiding address reuse. By promoting awareness and best practices, businesses can reduce user-level vulnerabilities and build a more resilient ecosystem.

Quantum computing brings both legal challenges and opportunities. By taking a proactive and interdisciplinary approach, the legal community can help guide its development—ensuring it aligns with the rule of law, protects rights, and serves the public good.

What This Means for Businesses

Quantum computing is no longer a remote hypothetical concept—it is a rapidly emerging technology that could reshape data security, digital transactions, and regulatory compliance. Whether you are business leader, tech entrepreneur, or a legal professional, understanding the legal implications of quantum technologies is essential to future-proofing your operations and protecting your interests.

How we can help

We stay ahead of emerging technologies to help our clients navigate complex legal landscapes. Our team can assist you with regulatory compliance, contract drafting and review, IP protection, cybersecurity and training and advisory services. We combine legal expertise with a forward-thinking approach to help you prepare for the quantum future—securely and strategically.

Copyright © 2025 Chetcuti Cauchi. This document is for informational purposes only and does not constitute legal advice. Professional legal advice should be obtained before taking any action based on the contents of this document. Chetcuti Cauchi disclaims any liability for actions taken based on the information provided. Reproduction of reasonable portions of the content is permitted for non-commercial purposes, provided proper attribution is given and the content is not altered or presented in a false light.

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