Dutch banking group ABN Amro has collaborated with QuTech, a joint venture between TNO and TU Delft, to explore how quantum computing can be used to secure online and mobile banking.
The move is said to be in response to the quick progress of quantum technology, which has the ability to break existing encryption methods.
As a result, existing digital banking security systems may become ineffective in the long run.
The firms will work on developing an advanced system for Measurement Device Independent-Quantum Key Distribution (MDI-QKD).
QKD is said to enable multiple users connect using a central measurement and exchange complex codes.
ABN Amro believes that the technology is “virtually impossible to eavesdrop on”.
QuTech director of business development Kees Eijkel said: “The collaboration provides a unique opportunity to test concrete and real applications of quantum technology in practice.
“Each of the collaborating parties brings a clear and essential specialisation to the project.”
Laser communication through fibre-optic connections as well as air will support the establishment of the quantum connection.
ABN Amro chief innovation officer Edwin van Bommel: “This is a promising initiative.
“I immediately saw that this is a valuable step towards a new eco-system, in combination with a good business case.”
Earlier this month, ABN Amro acquired a stake in financial crime detection firm ThetaRay.