Britain's Financial Conduct Authority (FCA) is taking part in a joint experiment to test whether quantum computing can be used to detect money laundering and financial fraud. It aims to confirm real-world performance and limits so financial companies can use quantum technology effectively.

FinTech Futures reported on Nov. 9 that the FCA has formed a Quantum Experimentation Group (QEG) involving financial institutions, quantum-computing companies and research bodies. The FCA introduced it as "the world's first regulator-led quantum computing experimentation organisation".

The first research focus is anti-money laundering (AML) and financial fraud detection. Participating organisations will test ways to detect financial crime using quantum machine learning, and will compare and assess whether it offers practical advantages over existing computing technology.

The experiment will use synthetic data provided by the FCA. It will use artificially generated shared data instead of real customer information to reduce constraints on access to financial information and compare the performance of different technologies under the same conditions. It will also review technical limitations, operational risks and regulatory issues identified during the experiment.

The FCA plans to have participating institutions develop and validate technology individually, while sharing research results and experience that benefit the wider industry. Participation itself does not mean the FCA approves or guarantees any specific technology or company.

Eligible participants are UK financial services firms, quantum-computing suppliers and research organisations. Expressions of interest will be accepted until Dec. 31, and the programme will start in the first quarter of 2027. Applying does not automatically guarantee participation.

Jessica Rusu (제시카 루수), the FCA's chief data, information and intelligence officer, stressed: "Through early experiments, we need to identify areas where quantum technology can make a practical contribution to financial services."

The U.S. Treasury also launched a task force in August to support the financial sector's transition to quantum-resistant cryptography. The United States is focused on strengthening cryptographic security in preparation for future quantum computers, which differs from the UK's project testing the potential for financial crime detection.