Quantum Computing - Extremely undervalued

19 Des

This is the industry I’m most bullish on right now.

Imagine buying Bitcoin when it was $500.

How Does It Work?

Unlike traditional computers that process information as 1s or 0s, quantum computers leverage superposition, allowing them to exist in multiple states simultaneously.

This enables them to process many possibilities in parallel, making them exponentially faster than today’s fastest machines.

Case in point: Google recently performed a calculation in 5 minutes that would take current supercomputers longer than the age of the universe—approximately 10 sextillion years (10,000,000,000,000,000,000,000,000).

What Problems Does It Solve?

Quantum computing will redefine problem-solving across industries. In finance, it will optimize portfolios and manage risk.

In healthcare, it will accelerate drug discovery and medical breakthroughs. In materials science, it will help innovate stronger, lighter, and more sustainable materials.

For AI, it will supercharge model training and optimization. It’s not just about solving today’s challenges; quantum will tackle problems we don’t even know exist yet. This is a paradigm shift in computation.

Market Potential

McKinsey estimates that quantum technology could unlock trillions of dollars in value within a decade.

Similarly, BCG has identified over 100 use cases where quantum has a clear technological edge. The potential is mind-boggling, and no one can fully grasp the economic impact this will have.

Is It Decades Away?

Not at all. While today’s largest supercomputers can only simulate up to 50 qubits, quantum startups are already hitting 10 logical qubits.

Within 2 years, this could reach 100 logical qubits, and within 5 years, thousands.
Commercial applications are already here, accessible through AWS, Google, and Azure, with real-world use cases in medicine, defense, and finance.

Expect an explosion of innovation when quantum computing surpasses 100-1000 logical qubits in just a few years.

Closer Than You Think

Two years ago, AI was mocked. Today, it’s reshaping industries and jobs.

Quantum computing will do the same, but faster. Quantum and AI are symbiotic: quantum accelerates AI development, and AI compresses quantum R&D timelines.

For instance, Rigetti recently used AI to optimize their quantum processors, cutting weeks off development time. The tech adoption curve is accelerating—and AI is making it even faster.

Risks and Opportunities

Quantum will render today’s encryption standards obsolete, meaning Bitcoin and other cryptographic systems will need to adapt.

At the same time, quantum networks offer unparalleled security, as information physically cannot be intercepted without detection.

The Investment Case

The entire US quantum industry (IONQ, RGTI, QUBT, QBTS) has a combined market cap of under 10B. To compare, valueless memecoins in crypto exceed 110B.

This is a technology that will revolutionize industries and unlock trillions in value—yet it’s trading for less than Dogecoin, Pepe, and Shiba Inu combined.

Let that sink in.

Massive Funding Influx

China is outspending the US on quantum by 5x, but this gap is expected to narrow as quantum supremacy approaches.

The Quantum Leadership Act of 2024 is set to inject 2.5B into US quantum development over the next five years.

The "ChatGPT Moment" Is Coming

Quantum computing’s breakout is imminent.

Within 2-3 years, its value will become undeniable, triggering a rapid repricing of the industry. When Bitcoin was valued at 110B, it traded for $500.
Imagine getting in at that stage.

Quantum computing offers a similar ground-floor opportunity—but with the potential to reshape every facet of modern life. Get ready for the next big tech revolution.

Thanks for reading
Daveatt