An Ontario aerospace and defence startup is developing a method to securely transmit encryption keys from space using quantum particles, aiming to counteract the threat posed by quantum computers to current encryption methods.
Quantum computers threaten current encryption
Many experts fear that quantum computers will be able to decrypt today's encrypted data within the next decade. Current encryption relies on mathematical formulas that, while complex enough to resist classical computers, are vulnerable to quantum decryption. QEYnet, based in Maple, Ont., is leveraging the laws of quantum physics to create a more secure alternative.
“It’s really about future-proofing communications and the security around them,” said Cordell Grant, CEO and co-founder of QEYnet.
How quantum key distribution works
Quantum key distribution (QKD), a method developed in the 1980s, uses quantum particles such as photons to create encryption keys. On a quantum level, photons exist in a state of uncertainty; measuring them alters their state, making any eavesdropping attempt detectable. This allows two parties to share a secret key securely.
“Quantum computers are coming. When they come, they’re going to overturn the apple cart, and all of the encryption that we do today is going to be thrown out the window and will need to be replaced,” Grant said.
Current QKD systems rely on terrestrial fibre-optic networks, but photon signals degrade over distances beyond about 100 kilometres. This limitation requires frequent generation of new keys, increasing costs and vulnerability to fibre-tapping or physical damage.
Space-based solution
QEYnet is developing a satellite-based QKD system to overcome terrestrial limitations. By transmitting photons from space, the signals can reach much greater distances without the losses incurred in fibre cables.
“As good as optical fibres are, the losses add up when you’re at the single-photon level, and beyond a couple of hundred kilometres at most, it just becomes impractical. That’s where satellites come in,” Grant explained.
Importance of secure communications
Encryption secures everything from personal emails and online banking to business and government data, as well as utility and health-care infrastructure. Grant emphasized that many people take secure communication for granted.
“People take secure communication for granted because it’s invisible to most people. When they log onto their banking website, they don’t realize that they are relying on encryption technology that’s at risk of being compromised in the future. They don’t realize that their banks are also relying on encryption internally,” he said.



