HSBC Pioneers Quantum Protection For AI-Powered FX Trading

Dollars in front of a monitor with a price chart. Forex and trading.
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  • HSBC added quantum protection for AI-powered foreign exchange trading.
  • HSBC protected its HSBC AI Markets trading terminal using Quantum Key Distribution.
  • Critical Quote: “The quantum revolution is not on the horizon; it’s already here. By investing and experimenting in quantum technologies now, HSBC is not just preparing for the future; we’re shaping it.” — Colin Bell, CEO of HSBC Bank Plc and HSBC Europe

PRESS RELEASE — HSBC has become the first bank to pioneer quantum protection for AI-powered foreign exchange trading. As one of the world’s largest foreign exchange providers, HSBC is leading the way in exploring how quantum cryptography can safeguard highly sensitive trading data against possible cyber threats as powerful as future quantum attacks.

In a world-first trial, HSBC armed its award-winning HSBC AI Markets trading terminal with unprecedented quantum protection, using Quantum Key Distribution to safeguard a €30 million trading scenario from Euros to US dollars. As this technology matures into a commercially accessible and globally scalable solution, HSBC has proven it will have the power to safeguard trades of any value from quantum attacks.

CEO of HSBC Bank Plc and HSBC Europe, Colin Bell, said:  “The quantum revolution is not on the horizon; it’s already here. By investing and experimenting in quantum technologies now, HSBC is not just preparing for the future; we’re shaping it. Today’s trials will define tomorrow’s triumphs. Successfully pioneering quantum protection for our FX trading is a significant step with far-reaching implications for the blueprint of our future cybersecurity. We are determined to do whatever we can to protect our customers assets, both now and in the future. This trial marks an important step in this commitment.”

Introducing TQI 2.0Introducing TQI 2.0

With this milestone, powered by BT, Toshiba and Amazon Web Services (AWS) technology, HSBC reaffirms its unwavering commitment to staying ahead of the technological curve and ensuring the utmost protection for its customers’ and clients’ assets in the quantum era.

Electronic trading has transformed financial transactions – providing traders and investors unprecedented speed, efficiency, and access to global markets. HSBC processed 4.5 billion payments for their customers last year, worth an estimated value of £3.5 trillion.

The increasing threat of cyber-attacks and the emergence of quantum computers pose a real threat to the financial sector. Waiting until quantum computers become a reality to address this issue risks leaving financial systems vulnerable, as the transition to quantum-resistant encryption takes time. HSBC is committed to proactive research and development in this area to ensure the continued resilience of its financial systems in an increasingly quantum future.

This work represents an important step towards the UK Government’s ambition to enable the commercial viability of quantum communications as outlined in the recent National Quantum Strategy.

HSBC Global Head of FX and Emerging Markets Rates and Commodities, Richard Bibbey said: “In the world of foreign exchange trading, currency dynamics are evolving faster than ever. Ensuring the security of our client’s data is paramount and we must constantly innovate and stay ahead of the curve. “This ground-breaking quantum experiment marks a considerable leap in the world of finance. For the first time, we have leveraged the power of quantum communications to further reinforce our secure trading and transactions.”

HSBC’s quantum scientists, cyber-crime experts and trading specialists will use the valuable insight generated by this experiment to inform how Quantum Key Distribution can be integrated into our most important trading tools to secure them against quantum attacks in the future.

In July, HSBC became the first bank to join BT and Toshiba’s quantum secure metro network, working in collaboration with AWS – installing quantum infrastructure in their Global Headquarters in Canary Wharf that spans 63km via fibre-optic cables to their data centre in Slough.

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MENTIONED IN THE ARTICLE

HSBC
InvestorUnited Kingdom · 10001+ FTEs

HSBC stands as a global bank, possessing assets amounting to USD 3 trillion and serving a customer base of 40 million individuals across the world. Its operational footprint extends across 64 countries, supported by approximately 220,000 full-time employees. The bank maintains significant presence in regions such as Asia, Europe, the Middle East and North Africa, and North America. Notably, the United Kingdom and Hong Kong stand as the bank's largest markets. HSBC's services encompass a wide range, including retail, commercial, and institutional banking, global banking and markets, as well as wealth management and private banking.

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BT
Enterprise UserUnited Kingdom · 10001+ FTEs

BT Group plc, formerly known as British Telecom, is a British multinational telecommunications holding company. BT has evolved into the UK's leading provider of fixed-line, broadband, and mobile services, also offering subscription television and IT services.

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Toshiba
InvestorJapan · 10001+ FTEs

Toshiba Corporation is a multinational conglomerate formed in 1939 through the merger of Shibaura Seisakusho and Tokyo Denki. It operates across a wide array of industries including consumer electronics, home appliances, semiconductors, storage products, medical equipment, power systems, elevators, escalators, air conditioners, lighting, and batteries. Toshiba is renowned for its technological innovations and global presence in various sectors.

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Amazon Web Services (AWS)
CompanyUnited States · 10001+ FTEs

Amazon Braket – A fully managed service that allows scientists, researchers, and developers to begin experimenting with computers from multiple quantum hardware providers in a single place. Bra-ket notation is commonly used to denote quantum mechanical states, and inspired the name of the service.

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