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MicroAlgo Inc.'s Quantum Blockchain Architecture Using Cyclic QSC and QKD to Enhance Transaction Security and Transparency

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MicroAlgo (NASDAQ: MLGO) announced a quantum blockchain architecture using cyclic quantum secure channels (QSC) and quantum key distribution (QKD) to enhance transaction security and transparency. The design uses four layers: quantum communication, blockchain core, smart contract, and application.

QKD secures key generation/distribution, quantum encryption protects transaction data, and periodic key rotation plus quantum signatures aim to support real-time verification while preserving decentralization. Company notes commercialization and scalability of quantum components remain challenges for large-scale deployment.

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Key Figures

Architecture layers: 4 layers
1 metrics
Architecture layers 4 layers Quantum blockchain architecture design (communication to application)

Market Reality Check

Price: $4.04 Vol: Volume 144,157 is 44% abo...
normal vol
$4.04 Last Close
Volume Volume 144,157 is 44% above the 20-day average of 99,820. normal
Technical Price at $3.98 is trading below the 200-day MA at $6.89 after a steep prior decline.

Peers on Argus

MLGO fell 3.63% while peers were mixed: some down (e.g., KPLT about -4%, VHC abo...
1 Down

MLGO fell 3.63% while peers were mixed: some down (e.g., KPLT about -4%, VHC about -3.7%), others up (e.g., XBP and ALAR up over 3%), pointing to stock-specific dynamics rather than a broad sector move.

Historical Context

3 past events · Latest: Apr 30 (Positive)
Pattern 3 events
Date Event Sentiment Move Catalyst
Apr 30 Quantum tech update Positive +5.7% Announced optimal exact quantum query algorithm framework for Boolean functions.
Apr 24 Quantum AI update Positive +4.4% Revealed quantum algorithms for feedforward neural networks using QRAM.
Apr 01 Full-year earnings Positive +14.9% Reported 2025 net profit and EPS growth over 100% with higher revenue.
Pattern Detected

Recent quantum tech and strong earnings announcements have coincided with positive next-day price moves.

Recent Company History

Over the last few months, MicroAlgo has paired quantum-technology announcements with solid financial performance. On Apr 1, 2026, it reported a 143.5% net profit increase for 2025, and the stock rose about 14.9%. Subsequent quantum algorithm updates on Apr 24 and Apr 30 also saw positive reactions of 4.42% and 5.66%. Today’s quantum blockchain architecture news continues this innovation theme, but the pre-news setup shows the stock trading far below its 52-week high and under its 200-day MA.

Market Pulse Summary

This announcement details a four-layer quantum blockchain architecture integrating QSC and QKD to st...
Analysis

This announcement details a four-layer quantum blockchain architecture integrating QSC and QKD to strengthen security and transparency. It follows earlier quantum algorithm and AI updates plus strong 2025 earnings, which previously coincided with positive price reactions of up to 14.94%. Investors may track how quickly this architecture sees real-world deployment, how it complements the company’s broader quantum roadmap, and whether future filings or financials clarify commercialization progress and capital needs.

Key Terms

qkd, distributed ledger, consensus mechanism, smart contract, +2 more
6 terms
qkd technical
"architecture with cyclic QSC and QKD to enhance transaction security"
QKD stands for quantum key distribution, a method that uses the rules of quantum physics to create and share secret encryption keys so that any eavesdropping is detectable. For investors, QKD signals exposure to next‑generation cybersecurity technology that can protect sensitive data and communications against current and future threats (including quantum computers), potentially creating high-value contracts, licensing opportunities, or competitive advantage in secure networks.
distributed ledger technical
"It uses distributed ledger technology to record transaction data"
A distributed ledger is a digital record of transactions that is shared and synchronized across multiple computers or locations. Unlike a traditional record kept in one place, it allows many parties to see and verify the same information simultaneously, making it more transparent and harder to alter. This technology matters to investors because it can increase trust, reduce the need for middlemen, and improve the efficiency of recording and verifying transactions.
consensus mechanism technical
"ensures data consistency and immutability through a consensus mechanism"
A consensus mechanism is the set of rules and processes a distributed network uses to get independent participants to agree on which transactions or records are valid, like a panel of judges agreeing on the official score. For investors it matters because the chosen method affects security, speed, energy use and transaction costs—factors that influence a network’s reliability, running expenses and ultimately the economic value or risk of assets tied to that network.
smart contract technical
"Smart Contract Layer: This layer provides an execution environment for smart contracts"
A smart contract is a computer program stored on a blockchain that automatically carries out the terms of an agreement when preset conditions are met — like a vending machine that releases a snack when you insert the right coins. For investors, smart contracts matter because they can cut out intermediaries, speed up and lower the cost of transactions, and make outcomes more transparent, but they also introduce technology and regulatory risks that can affect asset value.
quantum encryption technical
"integrates quantum encryption technology to encrypt transaction data"
Quantum encryption uses principles of quantum physics to create and share secret keys for protecting data so that any attempt to intercept them changes the physical signals and can be detected. Think of it like sending a sealed envelope that reveals if someone tried to peek; for investors, it matters because it promises far stronger protection for communications and transactions, creating demand for new hardware, services, and regulatory shifts in cybersecurity.
api interfaces technical
"The application layer also offers rich API interfaces and development tools"
API interfaces are the software “doorways” that let one computer system talk to another, sending and receiving data or commands in a controlled way. For investors, they matter because they determine how easily a company can share market data, integrate with partners, automate operations, or scale digital products — which affects revenue opportunities, cost efficiency, and technology risk exposure.

AI-generated analysis. Not financial advice.

SHENZHEN, China, May 5, 2026 /PRNewswire/ -- MicroAlgo Inc. (the "Company" or "MicroAlgo") (NASDAQ: MLGO), today announced the use of a quantum blockchain architecture with cyclic QSC and QKD to enhance transaction security and transparency. MicroAlgo's quantum blockchain architecture adopts a layered design approach, divided from bottom to top into four layers: the quantum communication layer, the blockchain core layer, the smart contract layer, and the application layer.

Quantum Communication Layer: This layer is responsible for implementing cyclic QSC and QKD technologies, providing secure communication and key distribution services for nodes in the blockchain network. Through quantum channels and quantum encryption algorithms, it ensures that communication and key transmission between nodes have extremely high security and resistance to quantum computing attacks.

Blockchain Core Layer: This layer is the core component of the blockchain architecture, responsible for maintaining the stability and security of the blockchain network. It uses distributed ledger technology to record transaction data and ensures data consistency and immutability through a consensus mechanism. Additionally, this layer integrates quantum encryption technology to encrypt transaction data, preventing data leakage and tampering.

Smart Contract Layer: This layer provides an execution environment for smart contracts, supporting user-defined transaction rules and logic. Smart contracts are automatically executed and verified based on the data from the blockchain core layer, ensuring the transparency and fairness of transactions. Additionally, smart contracts incorporate quantum signature technology to ensure the immutability of contracts and the security of identity verification.

Application Layer: This layer is the topmost layer of the blockchain architecture, providing various blockchain application services to users. Users can interact with the blockchain network through the application layer to initiate transactions, query data, and perform other operations. The application layer also offers rich API interfaces and development tools, supporting third-party developers in creating new applications and services based on the blockchain platform.

MicroAlgo's quantum blockchain architecture, by integrating cyclic QSC and QKD technologies, achieves a significant enhancement in transaction security. QKD ensures the absolute security of key generation and distribution, while quantum encryption builds an impregnable protective layer for transaction data, effectively resisting advanced threats such as quantum computing. The periodic updating and rotation of keys further strengthen the system's long-term security defenses. This architecture not only guarantees the absolute security of transaction data during transmission and storage but also leverages the efficient computational capabilities of QSC to enable real-time verification and monitoring of transactions, ensuring their legitimacy and accuracy. Meanwhile, the decentralized and immutable nature of the blockchain ensures that, while access to encrypted transaction data is restricted, transaction transparency and trustworthiness are still maintained, allowing all nodes to verify the authenticity and consistency of transactions.

MicroAlgo's quantum blockchain architecture holds significant technical advantages, but its promotion and application still face some challenges. The maturity and commercialization of quantum technology need further improvement to meet the demands of large-scale applications. Despite the numerous challenges encountered during development, the future prospects remain promising as technology continues to advance and applications expand. This architecture is poised to lead blockchain technology into a new stage of development, making significant contributions to building a more secure, transparent, and efficient digital economic ecosystem.

About MicroAlgo Inc.

MicroAlgo Inc. (the "MicroAlgo"), a Cayman Islands exempted company, is dedicated to the development and application of bespoke central processing algorithms. MicroAlgo provides comprehensive solutions to customers by integrating central processing algorithms with software or hardware, or both, thereby helping them to increase the number of customers, improve end-user satisfaction, achieve direct cost savings, reduce power consumption, and achieve technical goals. The range of MicroAlgo's services includes algorithm optimization, accelerating computing power without the need for hardware upgrades, lightweight data processing, and data intelligence services. MicroAlgo's ability to efficiently deliver software and hardware optimization to customers through bespoke central processing algorithms serves as a driving force for MicroAlgo's long-term development.

Forward-Looking Statements

This press release contains statements that may constitute "forward-looking statements." Forward-looking statements are subject to numerous conditions, many of which are beyond the control of MicroAlgo, including those set forth in the Risk Factors section of MicroAlgo's periodic reports on Forms 10-K and 8-K filed with the SEC. Copies are available on the SEC's website, www.sec.gov. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, MicroAlgo's expectations with respect to future performance and anticipated financial impacts of the business transaction.

MicroAlgo undertakes no obligation to update these statements for revisions or changes after the date of this release, except as may be required by law.

Cision View original content:https://www.prnewswire.com/news-releases/microalgo-incs-quantum-blockchain-architecture-using-cyclic-qsc-and-qkd-to-enhance-transaction-security-and-transparency-302762585.html

SOURCE MicroAlgo Inc.

FAQ

What is MicroAlgo's MLGO quantum blockchain architecture?

It is a four-layer blockchain integrating cyclic QSC and QKD for secure keys and encrypted transactions. According to the company, layers include quantum communication, blockchain core, smart contract, and application to support secure transmission, verification, and developer APIs.

How does QKD improve transaction security in MicroAlgo's MLGO system?

QKD provides provably secure key generation and distribution between nodes using quantum channels. According to the company, this prevents key interception by quantum-capable adversaries and supports periodic key rotation to strengthen long-term security.

What role does quantum encryption and QSC play for MLGO transactions?

Quantum encryption protects transaction data in transit and at rest, while cyclic QSC secures communications between nodes. According to the company, these technologies aim to resist quantum computing attacks and enable real-time verification of transaction integrity.

Does MicroAlgo's architecture support smart contracts on MLGO?

Yes; the architecture includes a smart contract layer with quantum signature support for immutability and identity verification. According to the company, smart contracts execute automatically using blockchain data while leveraging quantum signatures for stronger tamper resistance.

What are the main deployment challenges for MicroAlgo's MLGO quantum blockchain?

Primary challenges are technology maturity and commercialization for large-scale use, plus integration complexity and infrastructure needs. According to the company, these obstacles must be addressed before widespread adoption despite promising technical advantages.