HSBC has said it is the first bank to pioneer quantum protection for AI-powered foreign exchange trading.

The bank says it is exploring how quantum cryptography can safeguard highly sensitive trading data against possible cyber threats as powerful as future quantum attacks.

In what it describes as a world-first trial, HSBC has given its HSBC AI Markets trading terminal “unprecedented” quantum protection.

The bank has used Quantum Key Distribution – which uses particles of light and the fundamental properties of quantum physics to deliver secret keys between parties that can be used to encrypt and decrypt sensitive data – to safeguard a a €30 million trading scenario from Euros to US dollars.

Chief executive of HSBC Bank and HSBC Europe Colin Bell said that the trials mark a significant step with "far-reaching implications for the blueprint of our future cybersecurity".

HSBC says that the move, carried out using technology from BT, Toshiba, and Amazon Web Services (AWS), has demonstrated its "unwavering commitment" to stay ahead of the technological curve.

“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," said Richard Bibbey, HSBC global head of FX and emerging markets rates and commodities. “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.”

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